LONDON (Alliance News) - 3i Group PLC said on Thursday its Private Equity Portfolio fuelled a net asset value boost in its recently ended financial year, as the FTSE 100-listed private equity and venture capital company raised its dividend.
For the year to the end of March, 3i reported a total return of 24%, or GBP1.42 billion, leaving its net asset value per share at the end of the period at 724 pence, up from 604p the year before.
In particular, the Private Equity division contributed a strong gross investment return of 30% , or GBP1.43 billion over the year. Realisations in the year generated GBP1.00 billion, with a further GBP350 million of proceeds expected by the summer of 2018. GBP587 million has been invested in four new portfolio companies.
Dutch discount store chain Action performed strongly, with earnings and revenue growth, as well as Scandlines, which invested in its ferry capacity, thus increasing the frequency of crossings and generating a stable cash flow.
Meanwhile, FTSE 250-listed 3i Infrastructure PLC, in which 3i Group has a 34% holding, generated a 12% shareholder return over the year.
3i Group declared a final dividend per share of 22.0 pence, bringing its total payout for the year to 30.0p, up from 26.5p the prior year.
"We enter 2019 with good momentum across the group. Our fund management initiatives in Infrastructure, together with our reinvestment into Scandlines, will generate important cash income while our Private Equity portfolio remains well positioned to generate top-tier capital returns. We remain confident in our ability to deliver continued growth and our new dividend policy provides shareholders with clarity on future distributions," said Chief Executive Simon Borrows.
Shares in 3i Group were down 1.5% at 959.40 pence on Thursday.
3i Group (III)