Shares of Vela Technologies PLC (LON: VELA) have fallen drastically from their February highs despite making several investments in companies with promising products and services.
The firm, which invests in disruptive technologies, recently invested £66,000 in Mode Global Holdings. Mode is a London-listed fintech company disrupting the financial services industry in Asia, China and globally.
Mode is looking to launch its “super app” that will have functions such as enabling digital payments and investments and a loyalty programme, and digital asset management features.
Vela is set to benefit from Mode’s future success, given that it now owns a 0.68% stake in the fintech company. The company also acquired a stake in Kanabo Group after the cannabis company listed on the LSE in February.
The firm’s shares fell after completing the acquisition despite investing £150,000 in Kanabo as investors remained unimpressed by the small stakes acquired. However, Vela clarified that it had submitted a larger stake bid but received a small allocation due to the IPO being oversubscribed.
Vela also disposed of its entire stake in BlockchainK2, a Canadian company that invests in blockchain companies with a bright future, in January. The disposal netted Vela C$322,855.
One of the company’s most prized holdings is its stake in Argo Blockchain, the UK-listed crypto mining company that has made significant progress lately. Argo recently reported a jump in revenues and profits boosted by the rising Bitcoin prices.
The company has also been growing its mining capacity by buying new mining machines and acquiring new projects with significant potential. Argo is an excellent holding for Vela, and it would be great if the firm bought more Argo shares.
Vela Technologies share price.
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