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11 Sep 2017 07:00
HgCapital Trust plc
INTERIM Results for the SIX months ended 30 JUNE 2017
London, 11 September 2017: HgCapital Trust plc ("the Company"), which provides investors with a listed vehicle to invest in all private equity deals managed by HgCapital, today announces its interim results for the six months ended 30 June 2017.
CONTINUED STRONG NAV PERFORMANCE DRIVEN BY DOUBLE-DIGIT REVENUE AND PROFIT GROWTH AND EXITS ABOVE BOOK VALUE
SUMMARY performance
31 August2017 | 30 June2017 | 31 December2016 | % Totalreturn1 | |
Share price | £17.00 | £16.90 | £15.41 | +13.1% |
NAV per share | £18.61 | £17.97 | £16.50 | +12.1% |
FTSE All-Share Index | +5.5% | |||
June 2017Movement | ||||
Net Asset Value | £694.5m | £670.9m | £615.8m | +£55.1m |
1 Assuming reinvestment of all historic dividends
key Highlights FOR THE SIX MONTHS TO 30 JUNE 2017
§ NAV per share of £17.97, a total return of 12%.
§ Share price of £16.90, a total return of 13%.
§ Interim dividend of 16 pence per share, payable in October.
§ Strong revenue and EBITDA growth of 11% and 19% respectively across the top 20 buyout investments (82% of the portfolio) over the last twelve months.
§ EV to EBITDA valuation multiple of 16.0x and debt to EBITDA ratio of 5.0x for the top 20 buyout investments.
§ £134 million of cash returned to the Company and £40 million invested on behalf of the Company (including £11.5 million of co-investment).
year-to-date to 31 august 2017
§ NAV per share of £18.61, year-to-date return of 16%, the increase reflecting the exit of Sequel at a significant uplift to book value and positive foreign exchange movements.
§ Share price has risen to £17.00, year-to-date total return of 14% vs. a FTSE All-Share total return of 8%.
§ Five exits agreed since June completed or due to complete in the second half of 2017.
§ An estimated further £78 million has been returned to the Company since 30 June 2017.
§ Pro-forma liquid resources and outstanding commitments post completion of all announced transactions are £182 million (26% of NAV) and £464 million (67% of NAV) respectively.
Manager's Outlook
§ We believe that we are in a seller's market and will concentrate our efforts on returning further value from the portfolio over the next twelve months for good prices, and at uplifts to their book value.
§ The medium to long-term pipeline of new investment opportunities continues to build in our 'sweet spot' where we believe we can still make good investments in this market with a cautious and disciplined strategy.
§ We believe we have a very strong portfolio of highly cash generative businesses with good visibility on future earnings which can continue to grow value for shareholders and remain in demand from both trade and financial buyers.
Roger Mountford, Chairman of the Company, commented:
"Most businesses in our portfolio continue to achieve high rates of growth in both revenues and profits. This provides strong evidence of the potential for continuing, consistent growth in value for the benefit of shareholders."
- Ends -
The Company's 2017 Interim Report and Accounts and a video from the Manager to accompany the results are available to view at: http://www.hgcapitaltrust.com/.
For further details:
HgCapital | |
Laura Dixon (HgCapital) | +44 (0)20 7089 7888 |
Roger Mountford (Chairman, HgCapital Trust plc) Maitland | +44 (0)7799 662 601 |
Tom Eckersley
| +44 (0)20 7379 5151
|
About HgCapital Trust plc
HgCapital Trust plc is an investment trust whose shares are listed on the London Stock Exchange. The Company 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.
For further details, see www.hgcapitaltrust.com and www.hgcapital.com
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