KEY POINTS:
Brent King's investment company lost more than $14 million on its investments in failed start-up ICP Bio and troubled finance company Dorchester Pacific in the past year.
The exact losses were revealed yesterday at the second annual meeting of the NZAX-listed Investment Research Group until recently called Viking Capital.
King, formerly Dorchester's chief executive, said the second year had been a stark contrast with the first.
"Last year we had profits, cashflows and growth, plus we had purchased a business with potential.
"This year we have losses and reduction in shareholder wealth."
King described the group's decision to invest 36 per cent of its assets in Dorchester as a disaster. IRG had lost in excess of $5.5 million over the past two years.
Dorchester froze payments to debenture holders in June and is in the process of putting together a moratorium.
King said the investment in ICP Bio was also a disappointment.
"The simple fact was it had demand it couldn't meet for one product and had excessive stocks of a product for which demand was slow in building.
"The result was massive cashflow problems and the secured lender calling in receivers." IRG lost $8.6 million on the venture. IRG shares last traded at 8c.
