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MDB Capital Holdings Issues Annual Letter to Shareholders

Addison, TX, Jan. 31, 2024 (GLOBE NEWSWIRE) — MDB Capital Holdings, LLC, (NASDAQ: MDBH) (“MDB”), a public venture platform with the objective of growing the public venture marketplace and optimizing the way meaningful technologies are financed and built, today released its annual letter to shareholders from its CEO and Co-Founder, Christopher Marlett.

To the Shareholders of MDB Capital Holdings, LLC:

Welcome to our first annual letter, which I plan to send every January to reflect on the past year and how what we learned will shape our plans for the following year.

First, I want to start with a revelation that hit me during a break from my normal routine, while enjoying the holidays with my family in the Pacific Northwest:

Our unique platform for venture-stage investing more closely resembles a great sports franchise than a traditional corporation. 

How so? I’ll get to that in a moment. But first, I want to remind everyone what makes us different…

What We Do

At MDB, our team leverages a proprietary intellectual property database to identify two types of opportunities and unlock value.

  1. “Big Idea” Companies: We partner with universities and inventors of “Big Ideas” that have the potential to become category leaders. These are typically early-stage opportunities, where we commit firm capital to form the company. In turn, we own a majority stake and are intimately involved in day-to-day operations.
  2. Undervalued Public Companies: We identify and partner with more mature public companies with undervalued technologies that possess significant leadership potential. We endeavor to take our fees in equity. So here, too, our interests are strategically aligned with all stakeholders.

In both cases, we have a well-defined set of investment criteria. We then combine that with our community of experienced investors that commit not only their monetary capital, but their intellectual capital to help each company succeed.

In short, we are not stock pickers at MDB. We are technology and business backers.

The result is a unique approach that helps maximize the probability for a visionary technology to solve a big unmet need and in turn, create billions in stakeholder wealth and immeasurable value for society.

Take for example, our backing of Provention Bio.

We co-founded the company in 2017 with $28 million in seed funding, based on the potential for its portfolio of drugs to intercept and prevent chronic autoimmune and inflammatory diseases. Then last year, the French pharmaceutical giant Sanofi paid $2.9 billion to acquire Provention, primarily for its FDA-approved drug, TZIELD, the first disease-modifying therapy for Type 1 diabetes since the development of insulin a century ago.

That’s $28 million to $2.9 billion. While it’s not a result we can expect every time, it demonstrates the asymmetric return potential inherent with our model. And Provention is not the only opportunity where it’s been realized in our 27-year history.

This all brings me back to the sports analogy…

Continuing a Tradition

Great sports teams build a tradition of winning. But the results are never uniform.

Occasionally, teams have incredible seasons and win championships. Other times, they have great seasons and win conferences. Most years, they have good seasons and win divisions. And every so often, they have horrible seasons.

There are two reasons why you can expect our short-term performance at MDB to resemble a sports season:

As a result, our year-over-year operating performance will be highly variable, based upon the small group of companies we currently hold, as opposed to the long-term operating performance of a growing group of companies we invest in and/or operate.

However, we believe our long-term performance will resemble a great sports franchise’s “tradition of winning.” That’s because we have also built a culture, framework, and process for repeatable and sustainable success.

The Secret Sauce

The formula for a great sport franchise is easy to deconstruct…

Of course, winning serves as a positive feedback loop, reinforcing and inspiring even more confidence in the formula above so that failure becomes more and more unlikely.

I see our mission at MDB in the same way…

2023 in Review

Sports analogies aside, when I look back on 2023, I’m proud of our team’s accomplishments and the foundation it set for our collective success, including:

2024 Preview

As we enter the 2024 “season,” we couldn’t be more excited to know that our stadium is full of early supporters, our coaches and players know what success looks like, and our community is engaged to help expand and build the MDB franchise into something that could be truly legendary.

With that in mind, here is a short-list of what we expect to accomplish in the year ahead:

Wishing you all the best in 2024 and thanks again for keeping the faith!

Chris Marlett
Co-Founder, Chief Executive Officer

About MDB Capital Holdings, LLC

MDB was founded in 1997 with the purpose of backing visionary technology, inventors, and technology entrepreneurs via a new form of public venture capital that finances pre-revenue, early-stage companies through early public offerings, primarily listed on NASDAQ. After successfully launching 16 companies under this public venture model, MDB itself became a public entity to attract investors who share its vision to continue to launch new platform technologies into the public markets.

MDB currently has two wholly owned subsidiaries, Public Ventures, LLC (“Public Ventures”) and Patentvest, Inc., and has a majority ownership stake in Invizyne Technologies, Inc. MDB is also in the process of expanding the business scope of Public Ventures, an SEC registered and FINRA member broker dealer, to include self-clearing capabilities to enhance its investment banking services to both issuers and investors.

For more information, please visit www.mdb.com.

Forward-Looking Statements

This press release contains “forward-looking statements.” These forward-looking statements are made as of the date they were first issued and were based on current expectations, estimates, forecasts and projections as well as the beliefs and assumptions of management. Words such as “expect,” “anticipate,” “should,” “believe,” “hope,” “target,” “project,” “goals,” “estimate,” “potential,” “predict,” “may,” “will,” “might,” “could,” “intend,” “shall” and variations of these terms or the negative of these terms and similar expressions are intended to identify these forward-looking statements.

Forward-looking statements are subject to a number of risks and uncertainties, many of which involve factors or circumstances that are beyond MDB’s control. MDB’s actual results could differ materially from those stated or implied in forward-looking statements due to a number of factors, including but not limited to, risks detailed in documents that may be filed by MDB from time to time with the SEC. The forward-looking statements included in this press release represent MDB’s views as of the date of this press release. MDB anticipates that subsequent events and developments will cause its views to change. MDB undertakes no intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. These forward-looking statements should not be relied upon as representing MDB’s views as of any date subsequent to the date of this press release.

Investor Relations Contact:
IR@mdb.com

Media Contact:
press@mdb.com


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