The Scottish National Investment Bank (SNIB) has announced a net loss of £138m for the past financial year. The state-owned body cited the failure of three of its initial investments, including Glasgow-based laser company M Squared, as a primary reason for the losses.
Realised losses from the collapse of M Squared Lasers, electric car charging firm Trojan Energy, and satellite and digital company Krucial amounted to £65m. An additional £85m in unrealised losses occurred after rocket manufacturer Orbex and medical technology firm Pneumowave entered administration.
Chairman Willie Watt described the losses as "painful" but stated that the bank has learned lessons and is tightening its investment processes. Chief executive David Ritchie called the losses "regrettable and disappointing" but expressed determination to demonstrate the bank's ability to deliver for Scotland.
The bank, established in 2020 to fund business and innovation, invested a record £374m in Scottish ventures during the year, with operating costs remaining below budget. Since its inception, SNIB has invested over £1.2bn in 53 ventures and helped secure £1.9bn in third-party investment.