Hi-tech venture capital fund

Sadot Research & Development Fund

(LSE:SDT) found itself shifting to losses in the fourth quarter. Sadot is listed for trade in Tel Aviv and London.

Sadot lost NIS 8.7 million in the fourth quarter of 2000, compared with netting NIS 0.9 million in the corresponding quarter of 1999.

To sum up the year, Sadot's revenues climbed to NIS 12.2 million compared with NIS 6.5 million in 1999. But the company reverted to net losses. Sadot lost NIS 4.4 million for 2000, compared with netting NIS 7.3 million in 1999.

Sadot's market value is $38 million after its stock plunged 50% in three months.

The company said revenues were generated by selling shares of

Optisystems Solutions

for NIS 9.1 million,

Enfocus Software

for NIS 2.5 million, and Transtech Control for NIS 500,000.

Capital gains rose to NIS 6.4 million, compared with NIS 4.9 million in 1999.

But the company wrote off investments in Netformix (NIS 8.2 million), Wavelinks (NIS 3 million), Exsight (NIS 2.1 million) and Magma (NIS 1.4 million).

Sadot also reported a marked rise in management costs, which grew more than 100% in 2000 to NIS 8 million, compared with NIS 3.3 million in 1999.

General costs increased to NIS 5 million, but almost all of that went to pay for listing in London, a move made at the behest of Sadot's English shareholders. The listing cost it NIS 4.9 million.

Sadot's more notable investments are Optisystems,





RadView Software

(Nasdaq:RDVW), and Elemental, which specializes in e-commerce communications

Sadot is part of the TASE-traded Green fund of funds owned by businessman Yitzhak Tshuva.