Kalon’s Section 12J 2020-2021 raise exceeds all expectations

Kalon had a successful 2021 capital raise resulting in both funds having in excess of R100 million each

In February 2021 Kalon concluded a successful capital raise bringing Kalon’s total Assets Under Management to over R200 million with Fund II being over R100 million.

June 2021 is the last opportunity to invest

As you are most likely aware, National Treasury did not extend the sunset clause which has resulted in June 2021 being the last opportunity to invest and save on your taxable income.

To put your mind at rest, the discontinuation of Section 12J does not affect your prior investments or any investment you wish to make during this window. The fund will continue until all assets have been sold and shareholders capital and profits returned.

Final Section 12J raise

We are planning our final Section 12J raise between now and the end of June 2021. Before we commence with the raise, we require a new prospectus which should be available in April. Any investments between April and the end of June will be eligible for the 12J tax saving. We will once again be raising at a minimum of R70 K with a share price of R1400 per share with a cap of R2.5 million, the maximum amount set by National Treasury for individuals.

Investment Update

Our investee companies have mostly benefited through the pandemic and we are pleased with the overall performance of the fund with good growth achieved by most investee companies. During calendar year 2020 the minimum and maximum revenue growth in Fund II was between 81% and 800% per annum.

 A spotlight on our investees – what you could be investing in

Ozow, an AEFT (Automated Electronic Fund Transfer) payment solution for both buyers and merchants, had a record 2020 and reached R1bn rand in processing volume in last November alone. December 2020 to February 2021 showed continued momentum as the Pandemic accelerated digital payments adoption across most industry verticals.

 

FinChatBot. FinChatBot continues to show good growth and now provides conversational AI services in five countries: South Africa, UK, France, Portugal & Qatar. FinChatBot have recently signed their first deal in the UKand have a strong pipeline in the other regions.

 

Flow, a Proptech marketing company that goes straight to the source of the largest social platforms in the world matching people with property, has seen a growth of over 50% month-on-month and revenue has grown over 30% month-on-month. Flow is very much on its way to become a formidable alternative in the property search arena – a multi-billion dollar vertical.

 

Mobiz a user-friendly enterprise tool that allows businesses to create beautiful, personalised, and targeted digital marketing campaigns within minutes, deploy to customers via its integrated SmartSMS channel (with a zero mobile data cost to the consumer), and then seamlessly gather customer behavioural insights to enrich CRM or automate follow-up engagement, continues to achieve exceptional growth with an increase in revenue of over 240% during last year, from circa R16 million during 2019 to over R64 million during 2020.

Join us for our S12J webinar

Kalon will be holding a free webinar where we will be providing key insight into everything you need to know about the Section 12J ruling while also taking time to answer all of your questions about our next raise. The webinar will also include a Kalon performance update. Please click here if you would like to attend the webinar.