(Alliance News) - North Atlantic Smaller Cos Investment Trust PLC on Monday reported a strong rise in net asset value over the first half as the trust's UK portfolio "performed well".
At July 31, the trust's basic NAV per share stood at 4,120 pence, 11% higher than the 3,710p recorded at January 31. The investment trust - which invests in smaller companies based in countries bordering the north Atlantic Ocean - reported a diluted NAV per share of 4,118p at July 31, 11% higher than the 3,708p seen six months prior.
The trust repurchased and cancelled 132,863 shares in the period.
In the first half, North Atlantic Smaller's net asset value increased by 12.7% compared to its benchmark, Standard & Poors Composite Index, gaining 18.8%. The investment trust noted that its performance, however, compares "very favourably" with UK indices, where the majority of its assets are located.
The company explained: "The majority of the UK portfolio performed well with Oryx's NAV rising 14.9% and MJ Gleeson rising 16.9%. Other stocks that performed well include Polar Capital, Ergomed, Augean and, in particular, Renalytix which rose over 100%.
"This was, however, to some extent offset by the need to totally write off Goals Soccer following a fraud which adversely impacted the net asset value by just under 1%."
In the US, North Atlantic Smaller said its two biggest investments, Mountain Commerce and Ambac Financial Group Inc, both reported "satisfactory results during the period but the overall portfolio remains small as a percentage of the total fund".
North Atlantic Smaller did not declare an interim dividend but the investment trust said it is "highly likely" it will pay a final dividend. The trust paid a 30p final dividend last year.
Shares in North Atlantic Smaller closed 0.2% lower in London on Monday at 3,025.00p each.
North Atl.smlr (NAS)