"The usefulness of Kinnevik's methodology was highlighted further on Wednesday. As it reported first-quarter results, there was also news of a 300 million euro funding round for Global Fashion Group, an online retailer owned 26 percent by Kinnevik and 22.5 percent by Rocket. Kinnevik will kick in 200 million, Rocket 100 million and the funding values the company at about 1 billion euros. That’s way below the 3 billion euros in Rocket's last portfolio value; lower even than Kinnevik's 1.71 billion euros as of Tuesday night.
And there are recent signs of Kinnevik distancing itself from Rocket. Lorenzo Grabau, Kinnevik CEO and former Goldman Sachs banker, stepped down as Rocket chairman late last year, though he remains on the board. Kinnevik didn't take part in a $420 million co-investment fund that Rocket unveiled in January, and has been making its own bets on fintech and healthcare start-ups.
In any case, Kinnevik and Rocket both suffer from a similar difficulty: holding a bunch of different stakes in companies means their shares trade at a discount to net asset value. Rocket shares are at a 38 percent discount to its own last portfolio value. Kinnevik, which owns more listed assets so is easier to value, has a discount of about 17 percent."