Dear blq family,
We kicked off the first quarter of 2021 by investing in our fourth portfolio company, Collegial. The pandemic has forced all value-chains to enhance their digital approach and one of the effects is that public and private entities have up-skilling and reskilling challenges within their organisations. Collegial provides a learning experience platform (already 15k+ users) that addresses these challenges head on.
Entering 2021 brought a belief that the IPO market would calm down, due to rotation in the sectors and higher interest rates. But the (pre)IPOs that have taken place during the quarter have rather shown that the valuation party is not cooling off, and many of us are seeing signs of the scary “bubble” that we hope to avoid.
The valley of death has also been affected by the somewhat crazy valuations, but a pleasant finding in this is that companies want more than just a high valuation. They need a hands-on approach (blq box) on how to overcome the valley of death. We have taken this approach one step further, focusing within our sourcing to locate analog sectors that still haven’t been able to fully transform into a digital way of working. Together with sector-experts and well renowned company builders, our hands-on approach has ensured valuations below market for great companies.
During the second quarter we will be able to show you the yield of this work and present our first buy & build initiative within blq invest.