Forward Partners, a London-based venture capital firm specialising in supporting high growth, early-stage technology businesses, has announced its first portfolio company exits since its admission to AIM in July.
Forward Partners has exited its investments in Wonderbly, a publishing platform for personalised children’s books, and Heights, a brain health and cognition supplements company for a total of GBP5 million. The proceeds from the divestments will be reinvested in Forward Ventures and Forward Advances, in line with the IPO strategy. The Company, which invests in start-ups across eCommerce, digital marketplaces, and applied AI, exited from Wonderbly following private equity firm Graphite Capital’s acquisition of the direct-to-consumer platform. Since its initial investment in May 2014, Forward Partners has helped Wonderbly to accelerate sales and expand into over 150 countries. In 2020, Wonderbly sold more than one million books and recently won ‘Children’s Publisher of the Year’ at the British Book Awards. Forward Partners realised GBP2.8m in this transaction. The total cash return from the Wonderbly investment, including GBP0.5m from a partial sell-down in 2015, stands at GBP3.3m, valuing its stake at 0.98x the carrying NAV held at 31 March 2021. It represents a 13.1x cash on cash return and 103 per cent IRR.
Forward Partners has also exited from supplements brand Heights, facilitated by a third-party investment. Heights, which produces smart supplements to boost health and cognitive ability, has built a large and loyal customer following, garnering a rating of 4.8/5 on TrustPilot and public endorsements that include Stephen Fry. Forward Partners has realised a total cash return of GBP2.2 million, valuing its stake at 2.05x the carrying NAV held at 31 March 2021. It represents a 2.3x cash on cash return and 29 per cent IRR. Forward Partners also announces a GBP1 million investment in Ryde, the on-demand delivery driver platform, as part of a GBP2.5 million fundraise round alongside Triple Point and existing investors including Seedcamp. Ryde supplies delivery drivers on demand to grocery and e- Commerce businesses, empowering riders to regain control in the gig economy and connecting businesses to high quality drivers that deliver faster and better. The company plans to use the funds to launch its fleet and rider management tools, enabling customers to manage internal and external delivery personnel under one platform.
Nic Brisbourne, CEO of Forward Partners, says: “After our successful IPO, it’s fantastic to announce two strong exits and our new investment in Ryde. It’s been great to partner with both Wonderbly and Heights to accelerate their growth and we’re pleased to welcome Ryde to the Forward family. “With significant cash returns to our balance sheet and a strong pipeline of potential investments, our momentum is robust. The UK really is leading the charge when it comes to eCommerce, AI and Marketplace innovation. Our ‘permanent capital’ approach means we are perfectly positioned to grow strong businesses that will be the building blocks to our economic recovery. Exciting times are ahead.”
