Standard Life Private Equity Trust PLC
1. Investment update for the quarter ended 31 December 2016
· The Company's net asset value per ordinary share ("NAV") increased by 4.3% to 361.2p for the quarter ended 31 December 2016
· Realised gains and income during the quarter ended 31 December 2016 were £18.5 million (3.5% of NAV). The unrealised gains on the portfolio on a constant exchange rate basis were £9.7 million (1.8% of NAV); in addition, there were unrealised foreign exchange losses of £3.6 million (0.7% of NAV)
· 100.0% by value of the portfolio was valued by the respective underlying managers at 31 December 2016
· Outstanding commitments were £312.5 million at 31 December 2016
· Liquid resources were £107.4 million at 31 December 2016
For the quarter ended 31 December 2016 the Company's NAV increased by 4.3% to 361.2p, from 346.4p at 30 September 2016. At 31 December 2016 the Company's net assets were £555.3 million (30 September 2016 - £532.6 million). NAV total return was 4.3% for the quarter from 1 October 2016 to 31 December 2016.
The closing value of the Company's portfolio of 50 private equity fund interests was £447.9 million at 31 December 2016 (30 September 2016 - £433.4 million and 49 private equity fund interests). The total unrealised gains on the portfolio for the quarter ended 31 December 2016 were £6.1 million, comprising £9.7 million of unrealised gains on a constant exchange rate basis and £3.6 million of unrealised foreign exchange losses. The MSCI Europe Index and the FTSE All Share Index (both in sterling) rose by 4.4% and 3.1% respectively during the quarter. The unrealised foreign exchange losses were driven by the Euro depreciating by 1.4% relative to sterling over the quarter.
During the quarter ended 31 December 2016 the Company received £30.8 million of distributions (quarter ended 31 December 2015 - £45.1 million) and funded £20.3 million of draw downs (quarter ended 31 December 2015 - £17.0 million). The distributions received during the quarter generated £18.5 million of net realised gains and income, which was equivalent to a return of 2.5 times the acquisition cost of the realised investments.
The Company made one new fund commitment of €34.0 million to the IK VIII Fund. The Company also agreed to acquire, through a secondary purchase, an original commitment of €20.0 million to Nordic Capital VII. The purchase price for the fund interest was €22.1 million, equivalent to a small premium of 2.0% to the most recent valuation date of 30 September 2016, adjusted for subsequent cashflows. The Company assumed outstanding commitments of £0.9 million on acquisition. The Company has existing commitments of €15.0 million and €30.0 million to Nordic Capital Fund VII and VIII respectively. This transaction completed on 12 January 2017.
The Company had total outstanding commitments to its 50 private equity fund interests of £312.5 million at 31 December 2016 (30 September 2016 - £305.9 million and 49 private equity fund interests). The Manager continues to believe that around £55 million of the Company's existing outstanding commitments are unlikely to be drawn.
At 31 December 2016 the Company had liquid resources of £107.4 million comprised of cash and cash equivalents (30 September 2016 - liquid resources of £105.9 million). The Company continues to have an undrawn £80 million syndicated revolving credit facility provided by Citibank and Societe Generale that expires in December 2020.
2. Activity since 31 December 2016
On 27 January 2017 the Company paid a final dividend for the year ended 30 September 2016 of 3.6p per ordinary share (total for the year of 5.4p per ordinary share). The cost of the final dividend was £5.5 million.
During the period from 1 January to 10 March 2017 the Company received £21.8 million of distributions and funded £14.1 million of draw downs.
A new commitment of £22.0 million was also made to HgCapital 8 on 15 February.
At 10 March 2017 the Company had liquid resources of £91.5 million. The Company also had total outstanding commitments of £326.6 million.
The Company's estimated NAV at 28 February 2017 is also being announced today. It is anticipated that the Company will release its results for the six months ending 31 March 2017 on or around 8 June 2017.
For further information please contact:-
Roger Pim at SL Capital Partners LLP (0131 245 0055)
Note:-
Standard Life Private Equity Trust PLC is an investment company managed by SL Capital Partners LLP, the ordinary shares of which are admitted to listing by the UK Listing Authority and to trading on the Stock Exchange and which seeks to conduct its affairs so as to qualify as an investment trust under sections 1158-1165 of the Corporation Tax Act 2010. The Board of Standard Life Private Equity Trust PLC is independent of Standard Life plc.
