15 May 2020 07:00
15 May 2020
Gresham House plc
("Gresham House" or the "Company" or the "Group")
AGM statement and trading update
Gresham House (AIM: GHE), the specialist alternative asset manager, is hosting its Annual General Meeting today at Cunningham Hill Road, St. Albans, Hertfordshire, AL1 5BX under the revised arrangements as announced on 14 May 2020.
The Company is pleased to announce that at this early stage in the financial year, current trading is in line with market expectations. The Company announces today an update on Assets Under Management (AUM) in light of the COVID-19 pandemic. As at 30 April 2020 proforma AUM has risen to £3.2bn, up 13% on 31 December 2019 in difficult market conditions, highlighting the robust nature of our AUM base and distribution function.
Real Assets have grown by £310 million (15%) since 31 December 2019, through a combination of fundraising of £131 million, which includes the final close for the British Strategic Investment Fund (BSIF) on 15 May 2020, and the acquisition of Resi REIT plc (£184 million) management contract as part of the TradeRisks acquisition.
The Strategic Equity division has seen net positive AUM growth of £50m (7%) since 31 December 2019, despite the market impact of COVID-19 reducing AUM by £104 million, which was offset by net fund raising of £62 million and the Strategic Equity Capital plc (SEC) contract win which is due to start on 21 May 2020.
Proforma Assets Under Management as at 30 April 20203
£ millions | AUMDec-19 | Net Fund Flows1 | Performance | Funds Acquired/Won2 | Pro Forma AUMApr-20 | Total Growth % |
Strategic Equity | ||||||
Public Equity | 283.7 | 40.0 | (53.1) | 147.6 | 418.2 | 47.4% |
Private Equity | 424.5 | 21.7 | (51.3) | (55.2) | 339.7 | (20.0)% |
Subtotal | 708.3 | 61.6 | (104.4) | 92.4 | 757.9 | 7.0% |
Real Assets | ||||||
Forestry | 1,333.3 | - | - | - | 1,333.3 | - |
New Energy | 535.3 | 31.2 | (5.2) | - | 561.3 | 4.9% |
Infrastructure & Housing | 220.0 | 100.0 | - | 184.0 | 504.0 | 129.1% |
Subtotal | 2,088.6 | 131.2 | (5.2) | 184.0 | 2,398.5 | 14.8% |
Total AUM | 2,796.8 | 192.8 | (109.6) | 276.4 | 3,156.4 | 12.9% |
Notes1. Including funds raised, redemptions and distributions.2. The LMS contract was terminated in January 2020 with a NAV of £55 million and is included in Funds Acquired/Won.3. Proforma AUM to 30 April 2020 includes all funds as at 30 April 2020, plus the recent £300 million final close of BSIF and the win of the £148 million SEC plc mandate.
Anthony Townsend, Non-Executive Chairman states:
"We are encouraged to see our AUM continue to grow both organically and through acquisition, highlighting the resilience of Real Assets and the potential for growth in Strategic Equity.
"During this exceptional period, the safety and wellbeing of our staff is our main priority and we are taking every measure needed to ensure this while maintaining our operations.
"Despite equity markets expected to remain volatile, Gresham House continues to execute on its strategy to build on its existing alternative asset management platform. We are at the start of our recently outlined five-year strategic plan, "GH25", which includes an increasing focus on the ESG opportunities within our Group."
Ends
For more information contact:
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Gresham House plc
Tony Dalwood, Chief Executive Officer Kevin Acton, Chief Financial Officer
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+44 (0)20 3837 6270
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Houston - PR advisors
Alexander Clelland Anushka Mathew |
gh@houston.co.uk +44 (0)20 3701 7660
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Canaccord Genuity Limited - Nominated Adviser and Joint Broker
Bobbie Hilliam Georgina McCooke
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+44 (0)20 7523 8000
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Jefferies International Limited - Joint Broker and Financial Adviser
Paul Nicholls Max Jones |
+44 (0)20 7029 8000
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