Electra sitting tight

Investment company Electra Private Equity was drawing comfort from outperforming the FTSE All Share index as it announced a sharp reduction in net asset value (NAV) per share at the interim stage.NAV per share at the end of March was 1,512p, down 16.1% from six months earlier; over the same time period the FTSE All-Share index declined by 20.1%.Electra, which invests in unquoted companies, said the valuations of private companies have been affected by the worsening economic environment and the decline in valuations of comparable quoted companies.The company said its current focus is on protecting the existing portfolio, with new investment likely to be minimal until ’valuation uncertainties diminish.’Realisations are also expected to remain at a low level.In the six months to 31 March 2009 the company made investments of £62m, up from £54m in the preceding six month period.At the end of March 2009 the company had available net liquid resources of £74m and an additional £250m of banking facilities.Despite the decline in net asset value, the company'’ chairman Sir Brian Williamson was remaining chipper. ‘Electra is well placed. It has easily manageable levels of commitments, a portfolio with good defensive characteristics and modest levels of debt in the underlying companies,’ Williamson said.