HgCapital Trust plc Regulatory News (HGT)

HgCapital Trust plc announces the successful sale of Hoseasons to Wyndham Exchange & Rentals

London, 22 February 2010: HgCapital Trust plc, which provides investors with a listed vehicle to invest in all private equity deals managed by HgCapital, is today pleased to announce that HgCapital has agreed to sell Hoseasons Holdings Ltd, the leading independent self-catering holiday operator in the UK. The business is to be acquired by Wyndham Exchange & Rentals, the European leader in independent holiday accommodation, for an enterprise value of £51 million. Completion is subject to Wyndham receiving the necessary consent from the Financial Services Authority.

The transaction marks the culmination of HgCapital's successful investment in Hoseasons. During this period, the company has developed a powerful multi-channel marketing strategy with online sales now representing over 50% of total bookings. Last year the company sold more than 300,000 self-catering holidays to more than 1 million customers.

HgCapital Trust's holding in Hoseasons had a book value at 31 December 2009 of £2.5 million, based on the Directors' valuation at that date. On completion of the sale, the Trust will realise estimated cash proceeds of £5.1 million, a multiple in excess of 2.0 times the book value of the investment and 2.3x original cost. The sale will result in an uplift of 10.4p to its NAV per share. On 9 February 2010 the Trust announced that its estimated NAV per share at 31 December 2009 was no less than 910p (net of a dividend of 25p per share declared on 17 February 2010). When completed, the sale of Hoseasons would therefore raise the estimated NAV to no less than 920.4p (net of the dividend).

Roger Mountford, chairman of HgCapital Trust, commented: "This is another successful investment by HgCapital that has created value for our shareholders. The team at HgCapital has worked closely with Hoseasons' talented management, led by its Chief Executive Richard Carrick, to transform this long-established business, with excellent results. We wish the company well with its new owners."

Richard Carrick added: "I would like to thank HgCapital for the help and support they have given Hoseasons over a number of years. We very much look forward to taking our business forward with Wyndham."

HgCapital and Hoseasons were advised by Close Brothers Corporate Finance.

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About HgCapital Trust plc

HgCapital Trust plc is an investment trust whose shares are listed on the London Stock Exchange. The trust gives investors exposure, through a liquid vehicle, to a portfolio of high-growth private companies, managed by HgCapital, an experienced and well-resourced private equity firm with a long-term track record of delivering superior risk-adjusted returns for its investors.

The Trust has won Investment Week's Private Equity Investment Trust of the Year award for the last five consecutive years.