b'Annual Report & Accounts 2022 Mercia Asset Management PLC 15Strategic reportMercias funds-first business model is provenIt is always interesting to reread my previous CIO reports when starting to pull together the current one. Last year I did so with a sense of optimism for the year ahead and, without doubt, that positivity was well placed. Over the last financial year, across the Groups equity components, we have realised c.155million from 30 companies, delivering an average return of 3.1x. This is an excellent performance, and when taken together with Mercias 2021 results, we have realised over 250million of cash on behalf of individual and Limited Partner (LP) investors alongside our own balance sheet. This in turn has had positive effects on the NAV of both Mercia Asset Management PLC and our Northern VCTs, as well as profits from performance fees resulting from a number of these investment performance successes.Direct investments: portfolio-wide progress, breakout at nDreamsThe table below lists Mercias top 20 investments by fair value as at 31 March 2022, including the net cash invested, realisation proceeds, realised gains, fair value movements and the fully diluted equity percentage held.NetNet cashInvestmentRealisedFair valueNet investmentinvestedrealisationsgains movementinvestmentPercentage value as at year to year to year to year to value as atheld as at Year of1 April31 March31 March31 March31 March31 March31 March first direct2021202220222022202220222022 investment 000 000 000 000 000 000 %nDreams Ltd 2014 17,726 1,301 6,734 25,761 33.2Intechnica Group Ltd 2017 9,996 1,531 2,884 14,411 24.1Voxpopme Ltd 2018 8,845 1,500 166 10,511 17.6Impression Technologies Ltd 2015 8,622 1,75010,372 67.3Medherant Ltd 2016 8,105 534 350 8,989 33.1Warwick Acoustics Ltd 2014 4,255 1,039 1,012 6,306 40.0Ton UK Ltd* 2015 4,913 660 501 6,074 29.9VirtTrade Ltd** 2015 2,812 1,096 1,479 5,387 40.6Locate Bio Ltd 2018 3,006 1,664 188 4,858 18.1Invincibles Studio Ltd*** 2015 3,5531,047 4,600 39.0Eyoto Group Ltd 2017 1,813 1,1472,960 15.7W2 Global Data Solutions Ltd 2018 2,300 2002,500 16.3Sense Biodetection Ltd 2020 945 909 625 2,479 1.6sureCore Ltd 2016 2,417 2,417 22.0Edge Case Games Ltd 2015 2,300 2,300 18.7PsiOxus Therapeutics Ltd 2015 2,407(627) 1,780 1.4Forensic Analytics Ltd 20211,7501,750 8.9MyHealthChecked plc 2016 4,488(2,856) 1,632 13.1MIP Discovery Ltd**** 2020 302 1,1471,449 10.2Pimberly Ltd 20211,3751,375 5.6Faradion Ltd 2017 5,693 738 (16,309) 9,878 Other direct investments n/a 1,722 43 (118) 1,647 n/aTotal 96,220 18,384 (16,309) 9,878 11,385 119,558 n/a*Trading as Intelligent Positioning ** Trading as Avid Games***Formerly Soccer Manager Limited, prior to a change in registered name to Invincibles Studio Limited in March 2022 **** Formerly MIP Diagnostics, prior to a change in registered name to MIP Discovery Limited in May 2022'