Chrysalis Investments liquidates stake in InfoSum for $63 million

Published 03/04/2025, 14:34
Chrysalis Investments liquidates stake in InfoSum for $63 million

LONDON - Chrysalis Investments Limited has successfully sold its entire holding in data infrastructure firm Cognitive Logic, Inc., known as InfoSum, to the global communications company WPP (LON:WPP) plc, the investment firm announced today. The transaction will result in a single cash payment of approximately $63 million (£48 million) to Chrysalis, with no deferred payments or escrow arrangements.

This sale marks a 16.4% increase over the asset’s carrying value as of December 31, 2024, translating into a net asset value (NAV) uplift of roughly 1.23 pence per share for Chrysalis investors. The specifics of the deal, including the total consideration paid by WPP plc, remain confidential. InfoSum is set to become part of WPP’s media investment group, GroupM, enhancing its AI-driven marketing solutions with InfoSum’s secure data infrastructure.

As of March 31, 2025, Chrysalis reported gross liquidity of approximately £116 million, or £46 million net liquidity after accounting for loan balances. This includes a stake in Wise (LON:WISEa) plc valued at about £2.8 million, with the remainder in cash and equivalents. The proceeds from the InfoSum sale will boost Chrysalis’s liquidity to an estimated £164 million gross, or £94 million net.

Richard Watts and Nick Williamson, Managing Partners of the Investment Adviser, reflected on the significance of the transaction, stating, "The sale of InfoSum to WPP plc represents the Company’s third disposal within the last nine months, raising total gross proceeds of approximately £184 million." They highlighted the success of these sales, emphasizing an average money multiple of 1.33x and an average premium of 21.0% over the carrying values. The managing partners commended the InfoSum team on their successful exit and conveyed their best wishes for the future.

This strategic divestiture is part of a series of disposals by Chrysalis that underscores the strategic value of its portfolio assets and the effectiveness of its valuation process. The announcement is based on a press release statement from Chrysalis Investments Limited.

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