2 October 2017
Symphony International Holdings Limited ("Symphony" or the "Company")
Completion of a full and partial exit of listed investments
Symphony (LSE: SIHL), a leading investor in consumer-related businesses, primarily in the healthcare, hospitality and lifestyle (including education and branded real estate development) sectors in the Asia-Pacific region, is pleased to announce that it has completed an exit from its investment in Parkway Life Real Estate Investment Trust ("PREIT") and made a partial exit from its investment in Minor International Pcl ("MINT").
Symphony made an investment in the intial public offer of PREIT units in August 2007 and subsequently acquired additional units in February 2012. The investments provided the Company with an aggregate interest of appromimately 6.36% in PREIT at a cost of US$33.8 million. Since July 2016, Symphony has taken advantage of the higher unit price of PREIT by selling units in the market. The orderly sale process was completed on 22 September 2017 that resulted in the Company exiting its entire interest and generating proceeds (net of transaction expenses) of US$70.3 million. In addition to these proceeds, Symphony has received dividend income from PREIT of US$26.8 million since making the intial investment. The annualised return and times the original cost of the investment from the sale (taking into account dividends) was 14.4% and 2.9 times, respectively.
In addition to the full exit of PREIT shares, Symphony made a partial exit of ordinary shares and warrants held in MINT. Symphony's total cost of investment in MINT is US$74.0 million, which provided an aggregate interest in MINT of approximately 8.25%. Further to the sale of shares up to 31 December 2016, Symphony continued to sell MINT shares opportunistically during the year to take advantage of MINT's rising share price and to reduce exposure of this investment relative to Symphony's overall portfolio. Symphony sold 76.6 million shares and 16.6 million warrants during the year to date in 2017 that generated net proceeds of US$92.8 million. The annualised return and times the original cost of investment on the partial sale of shares in 2017 (taking into account dividends) was 19.0% and 5.0 times, respectively. Following this partial exit, Symphony interest in MINT was approximately 5.8%.
Pierangelo Bottinelli, Chairman of Symphony said: "The investments in MINT and PREIT have generated attractive risk adjusted returns through dividends and well as capital appreciation. The exits further validates the Company's investment thesis"
FOR FURTHER INFORMATION
Symphony Asia Holdings Pte. Ltd.:
Anil Thadani +65 6536 6177
About Symphony
Symphony is a London listed strategic investment company that invests in consumer businesses in the healthcare, hospitality and lifestyle ("HH&L") sectors (including eductaion and branded real estate developments), which are principally in Asia. It offers a way for investors to gain exposure to the rising disposable incomes and wealth in fast growing economies. Symphony's objective is to provide superior capital growth by investing in high quality companies and forming long-term business partnerships with talented entrepreneurs. Symphony is managed by Symphony Investment Managers Limited, which has a team of investment professionals with a broad range of expertise - many of them have been working in Asia for more than 25 years. For more information please visit our website at www.symphonyasia.com
IMPORTANT INFORMATION
This announcement is not for release, publication or distribution, in whole or in part, directly or indirectly, in or into the United States or any other jurisdiction into which the publication or distribution would be unlawful. These materials do not constitute an offer to sell or issue or the solicitation of an offer to buy or acquire securities in the United States or any other jurisdiction in which such offer or solicitation would be unlawful. The securities referred to in this document have not been and will not be registered under the securities laws of such jurisdictions and may not be sold, resold, taken up, transferred, delivered or distributed, directly or indirectly, within such jurisdictions.
No representation or warranty is made by the Company as to the accuracy or completeness of the information contained in this announcement and no liability will be accepted for any loss arising from its use.
This announcement is for information purposes only and does not constitute an invitation or offer to underwrite, subscribe for or otherwise acquire or dispose of any securities of the Company in any jurisdiction. All investments are subject to risk. Past performance is no guarantee of future returns. Prospective investors are advised to seek expert legal, financial, tax and other professional advice before making any investment decisions.
This announcement is not an offer of securities for sale into the United States. The Company's securities have not been, and will not be, registered under the United States Securities Act of 1933 and may not be offered or sold in the United States absent registration or an exemption from registration. There will be no public offer of securities in the United States.
Statements contained in this announcement regarding past trends or activities should not be taken as a representation that such trends or activities will continue in the future. The information contained in this document is subject to change without notice and, except as required by applicable law, neither the Company nor the Investment Manager assumes any responsibility or obligation to update publicly or review any of the forward-looking statements contained herein. You should not place undue reliance on forward-looking statements, which speak only as of the date of this announcement.
The Company and the Investment Manager are not associated or affiliated with any other fund managers whose names include "Symphony", including, without limitation, Symphony Financial Partners Co., Ltd.
This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. You should consult your own tax, legal and accounting advisors.
End of Announcement
