Chrysalis Investments Limited (LSE:CHRY) has completed the sale of its remaining holding in Klarna Group for approximately £34 million and announced plans to return around £25 million to shareholders through a compulsory capital redemption.
The disposal follows a £6 million sale of Klarna shares in July 2026 and completes Chrysalis’s exit from the investment.
Under the capital return, approximately 4.1% of the company’s issued ordinary shares will be redeemed at 127.0 pence per share.
Redemption to Apply Pro Rata to Shareholders
The compulsory redemption will apply pro rata across Chrysalis shareholders, with no action required from investors.
The redemption price is based on the company’s last reported net asset value, adjusted only to reflect the sale of the remaining Klarna investment. Chrysalis said valuations for its other portfolio assets remain unchanged for the purposes of the calculation.
Following the £25 million capital return, the company expects to retain approximately £9 million of the proceeds from its latest Klarna disposal.
Cash Position Expected at Around £19 Million
Chrysalis expects to hold approximately £19 million in cash and cash equivalents following completion of the redemption.
The company said the remaining liquidity will provide an operating buffer and capital for potential follow-on investments in existing portfolio companies.
Chrysalis intends to continue returning excess capital to shareholders as further portfolio investments are realised, while considering its liquidity requirements and solvency obligations when determining the timing and size of any future distributions.
New ISIN for Remaining Shares
As part of the compulsory redemption process, Chrysalis will introduce a new ISIN for the ordinary shares remaining after the capital return.
The change forms part of the mechanics of the redemption and the resulting adjustment to the company’s issued share capital.
About Chrysalis Investments
Chrysalis Investments is a listed investment company focused on growth-stage businesses, including private and pre-IPO companies.
Its capital allocation policy includes returning surplus capital to shareholders following portfolio realisations while retaining funds for operating requirements and investments in its existing portfolio.
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