Shares in this early-stage technology adviser have drifted by a third since floating on AIM nearly two years ago. That values the group at less than £17 million, which is too low given the portfolio that ANGLE is developing.

On an operational level, the business looks uninspiring. Revenues from management consultancy contracts should remain flat at £4m in the current year to April and a £1.5m loss is predicted this year. However, ANGLE’s business model is designed to maximise its stakes in the technology companies it advises.

The ‘Progeny’ process creates companies wholly owned by ANGLE to commercialise individual ideas. These have a put option agreement with the inventor, who will receive a stake in return for selling the intellectual property if ANGLE believes a product can be sold and outside capital raised. This means all early-stage development costs go through ANGLE’s books, but gives the group a huge stake in such ventures. If successful, capital gains can ultimately be immense.

So far ANGLE has spun off two ventures onto AIM. Software developer Corpora has disappointed so far, but recently completed two interesting acquisitions that could revive its fortunes. And Provexis has started to distribute its health drink Sirco through Sainsbury’s and another major retailer, with initial success. In addition ANGLE has half a dozen unquoted ventures with high promise as well.

An interesting buy ahead of the interims figures later this month.