LONDON (ShareCast) - (Sharecast News) - IP Group said on Tuesday that portfolio company First Light - which was spun off from the University of Oxford - has achieved a world first in nuclear fusion.
First Light confirmed that it had achieved fusion which has been independently validated by the UK Atomic Energy Authority (UKAEA).

Projectile fusion is a new approach to inertial confinement fusion that is simpler, more energy efficient, and has lower physics risk. First Light has achieved fusion having spent less than £45m, and with a rate of performance improvement faster than any other fusion scheme in history, it said.

The company said this was the first time fusion has been achieved using a projectile-based approach, harnessing the unique target technology it has developed.

IP Group said that its preliminary assessment, based on the lower end of the range, implies a carrying value of the asset that will generate an initial net fair value gain of at least £57m, or about 5p a share. As at December 31 2021, IP Group's undiluted beneficial holding of 27.4% in First Light was valued at £57.3m.

IP chief executive Greg Smith said: "Following the success of Oxford Nanopore, Ceres Power and others, this is another example of IP Group having helped establish a business with the potential to have enormous impact and supporting it over many years to a significant inflexion point. In this case, we helped found First Light in 2011 with the belief that its differentiated technology had the potential to provide a much cheaper route to fusion energy.

"Hitting the fusion milestone is a hugely important step on that journey and we're delighted for the team at First Light and are extremely proud of their achievements. We continue to have strong conviction in the company and the potential its technology offers."

At 1535 BST, IP shares were up 3.8% at 93.20p.

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