Dear , 

Spun-out of the University of Surrey in 2006, Surrey NanoSystems has raised around £8m in equity funding to date as well as substantial non-dilutive grant funding. Parkwalk made its first investment in 2012.

Surrey NanoSystems produces nanostructured materials such as carbon nanotubes (CNTs) and graphene using its proprietary low-temperature synthesis technology. This low-temperature synthesis capability, realised using specialised, custom-built equipment, enables these “wonder materials” to be used in real-world applications, where conventional synthesis temperatures would otherwise be too high. 

Using this technology, the Company developed Vantablack®, launched at the Farnborough International Air Show in the summer of 2014. Vantablack® is revolutionary in its ability to be applied to light-weight, temperature-sensitive structures such as aluminium whilst absorbing 99.96% of incident radiation, believed to be the highest-ever recorded.

 “Vantablack is a major breakthrough by UK industry in the application of nanotechnology to optical instrumentation.  For example, it reduces stray-light, improving the ability of sensitive telescopes to see the faintest stars, and allows the use of smaller, lighter sources in space-borne black body calibration systems. Its ultra-low reflectance improves the sensitivity of terrestrial, space and air-borne instrumentation”, said Ben Jensen, Chief Technology Officer, Surrey NanoSystems.

Vantablack is the result of applying Surrey NanoSystems’ patented low-temperature carbon nanotube growth process to the UK Technology Strategy Board’s ‘Space for Growth’ programme, working alongside the National Physical Laboratory and Enersys’ ABSL Space Products division. The manufacture of `super-black` carbon nanotube-based materials has traditionally required high temperatures, preventing their direct application to sensitive electronics or materials with relatively low melting points. This, along with poor adhesion, prevented their application to critical space and air-borne instrumentation. The two year development and test programme was completed in December 2013, during which period Surrey NanoSystems successfully transferred its low-temperature manufacturing process from silicon to aluminium structures and pyroelectric sensors. As part of the programme, qualification to European Cooperation on Space Standardisation (ECSS) standards was also achieved.

Valuations as of 6th January 2015. Net NAV includes tax relief and is stated after the deduction of fees. For details of the basis on which fees are charged to the funds, see the Funds' prospectuses.

* Fund I: September 2014: £0.86 returned to investors in cash for every £1.00 invested (at a cost of £0.83 including fees and charges) with the second exit from Fund I

** Fund II: June 2014: £1.43 returned to investors in cash (CGT free) for every £1.00 invested (at a cost of £0.73 including fees and charges) with the first exit from Fund II

Parkwalk’s current portfolio consists of 34 companies, which have raised in excess of £250m of funding between them since 2010 and over 600 patents protect their technology and processes.
Overall, Funds I-IV’s portfolio comprises of 10% Series ‘A’, 42% Series ‘B’, 21% Pre-IPO and 27% AIM listed companies. The University of Cambridge Enterprise Funds and University of Oxford Isis Funds generally comprise earlier stage investee companies.  

Past performance is no guide to future performance. Projections and forecasts are also not a reliable indicator of future performance. The price of a fund can fall as well as rise. Investors may receive back less than originally invested.

This financial promotion is issued by Parkwalk Advisors Limited (Parkwalk), which is authorised and regulated by the Financial Conduct Authority.  Investments referred to in this newsletter are not suitable for all investors.  Interested parties are strongly recommended to seek specialist financial and tax advice before investing in any Parkwalk product.  Capital is at risk and investors may not get back the full amount invested. Tax treatment depends on the individual circumstances of each investor and may be subject to change. Past performance is not a reliable indicator of future results, and the value of investments may go down as well as up. Projections and forecasts are also not a reliable indicator of future performance. Investments in small and unquoted companies carry a higher risk than many other forms of investment. Any investment in a Parkwalk product must only be made on the basis of the terms of the full Information Memorandum. Parkwalk is not able to provide advice as to the suitability of investing in a Parkwalk product.