Cash is King for Fast Forward
“…We get out in cash and miss the possible future potential upside of 16% over 4 years. Current cash shells are trading at 5/10/20 times their cash position with no other assets. Do the maths…”
Ed McDermott is emphatic his company can continue to find assets in the emerging tech and cannabis space that are undervalued. Indeed, even today, the company have released a company update with Leap gaming.
In an interview with Sarah Lowther, a very passionate Chief Executive of FastForward Innovations says: “We know what the themes are, we know what strategies other companies are operating and we know which way the market’s going.” He emphasises that FastForward’s investment model can add value not just through cash but with its industry knowledge and crucially its capital markets expertise which allows it to bring companies to the market ‘when they’re good and ready.’
McDermott is talking after criticism about the sale of the company’s stake in EMMAC a company he co-founded, and the disposal of which has “only” generated ‘190% returns’ or just over £5 million in cash for #FFWD.
The sale of EMMAC to Curaleaf now belongs to the narrative that will be the biggest cannabis company in the world, but some #FFWD shareholders wanted to keep the Curaleaf connection for perceived multiple highs, but regulation meant McDermott had no option but to sell FastForward’s option.
He’s perplexed by the ‘narrow-mindedness’ of some of the investment community who are focused on what has passed and not the opportunities that are current and in the pipeline. He believes the stake in life science therapeutic company Juvenescence “could create the same quantum of cash, if not more, than the EMMAC disposal.”
McDermott becomes even more animated about the 43.4% stake in Leap Gaming the developer and provider of 3D gaming technology and products with a focus on Virtual Sports and virtual casino. He’s recently joined Leap’s board to take it to a public listing but with the caveat: “We’re always alive to potential offers.”
As he explains to Sarah in the full interview below: “There’s a lot of things brewing in the Leap pipeline that I think will make investors very happy indeed.”
Click here to access FastForward’s most recent corporate presentation
Watch Ed speak with Proactive UK’s Katie Pilbeam about portfolio activity including Yooma Corp, Portage Biotech, Little Green Pharma and Leap Gaming.
Follow FastFwd Innovations on Twitter @ffwdinnovations
The author was remunerated but does not hold shares in the company
