An Internet of Things business based in Chesterfield has been placed in administration.
InVMA Limited – trading as Konektio – helps industrial customers to reduce energy costs and carbon emissions while monitoring the effectiveness of their equipment via software-as-a-service solutions.
The development was reported to the London Stock Exchange by Tern Plc, an investor which holds 8.8% of shares in the business.
“It is unlikely that any value will be realisable from Tern’s holding in Konektio and Tern’s holding in Konektio will therefore now be held at zero value,” it stated.
Tern announced on 8th November 2023 that it had decided not to invest further in Konektio and following this decision, 75% of Tern’s holding in Konektio was transferred into a valueless class of Konektio deferred shares.
“Whilst it is obviously very disappointing that Konektio has been placed into administration, it was clear to the Tern board that the Konektio business had lost focus in the second half of 2023,” said Ian Ritchie, chairman of Tern.
“We therefore decided not to invest further in Konektio in November 2023 and Tern’s stake was significantly reduced. The nature of investing in early-stage technology businesses is that there will inevitably be the occasional failure, but this is a first for Tern.
“I am happy to report that the remainder of Tern’s portfolio companies continue to perform well and I look forward to reporting on their continued progress in due course.”
In 2021 the Derbyshire business raised £2.1 million from the Midlands Engine Investment Fund (MEIF), Northern Powerhouse Investment Fund (NPIF) – managed by Mercia and Foresight Group – and Tern to accelerate international expansion.