16 Feb 2015 07:00
16 February 2015
STANDARD LIFE EUROPEAN PRIVATE EQUITY TRUST PLC ("SLEPET" OR "THE COMPANY") ANNOUNCES ITS ESTIMATED NET ASSET VALUE ("NAV") AT 31 JANUARY 2015
· ESTIMATED NAV AT 31 JANUARY 2015 WAS 247.9 PENCE PER SHARE (ESTIMATED NAV AT 31 DECEMBER 2014 WAS 258.6 PENCE PER SHARE)
· THE 10.7 PENCE MOVEMENT IN NAV DURING THE MONTH PRIMARILY REFLECTED:
· PAYMENT OF THE FINAL DIVIDEND FOR THE YEAR ENDED 30 SEPTEMBER 2014 OF 5.0 PENCE PER ORDINARY SHARE ON 30 JANUARY 2015
· UNREALISED FOREIGN EXCHANGE LOSSES ON THE PORTFOLIO ARISING FROM A 3.3% DECLINE IN THE EURO
· SLEPET RECEIVED £2.9 MILLION OF DISTRIBUTIONS AND PAID £1.8 MILLION OF DRAW DOWNS DURING THE MONTH OF JANUARY
· SLEPET HAD £238.9 MILLION OF OUTSTANDING COMMITMENTS AT 31 JANUARY 2015
SLEPET's valuation policy for private equity funds is based on the latest valuations reported by the managers of the funds in which SLEPET has holdings. In the case of SLEPET's valuation at 31 January 2015, the majority of reported valuations (accounting for circa 99% by value) were dated 30 September 2014.
Estimated NAV
At 31 January 2015, SLEPET's estimated NAV was 247.9 pence per share (estimated net assets £390.8 million), representing a 4.1% per share decrease from the estimated NAV at 31 December 2014 of 258.6 pence per share (estimated net assets £407.8 million).
SLEPET paid a final dividend for the year ended 30 September 2014 of 5.0 pence per ordinary share on 30 January 2015. The cash cost of the dividend was £7.9 million.
Draw downs and distributions
SLEPET paid £1.8 million of draw downs and received £2.9 million of distributions during the month. The distributions received generated net realised gains and income of £0.7 million.
Commitments
A new commitment of £28.0 million was made to Exponent Private Equity Partners III in January. The Company had £238.9 million of outstanding commitments at 31 January 2015.
Balance sheet and credit facility
The Company had liquid resources of £59.8 million at 31 January 2015, comprising a cash balance, including holdings in money market funds, of £29.5 million and £30.3 million invested at value (£29.4 million at cost) in UK and European equity index tracker funds. The Company has an undrawn £80 million syndicated revolving credit facility led by The Royal Bank of Scotland plc that expires in December 2016.
Future announcements
The Company is expecting to announce its actual NAV at 31 December 2014 on 19 March 2015 and will announce its estimated NAV at 28 February 2015 at the same time.
Additional detail about SLEPET's NAV and investment diversification can be found on SLEPET's website. Neither the contents of the Company's website nor the contents of any website accessible from hyperlinks on the Company's website is incorporated into, or forms part of, this announcement.
For further information please contact:-
Peter McKellar of SL Capital Partners LLP (0131 245 0055)
Note:-
Standard Life European Private Equity Trust PLC is an investment company managed by SL Capital Partners LLP, the ordinary shares of which are admitted to listing by the UK Listing Authority and to trading on the Stock Exchange and which seeks to conduct its affairs so as to qualify as an investment trust under sections 1158-1165 of the Corporation Tax Act 2010. The Board of Standard Life European Private Equity Trust PLC is independent of Standard Life plc.
Valuation Methodology
Unquoted investments are stated at the directors' estimate of fair value and follow the recommendations of EVCA and BVCA. The estimate of fair value is normally the latest valuation placed on a fund by its manager at the balance sheet date. The valuation policies used by the manager in undertaking that valuation will generally be in line with the joint publication from EVCA and BVCA, 'International Private Equity and Venture Capital Valuation guidelines'. Where formal valuations are not completed at the balance sheet date the last available valuation from the fund manager is adjusted for any subsequent cashflows occurring between the valuation date and the balance sheet date. The Company's Manager may further adjust such valuations to reflect any changes in circumstances from the last manager's formal valuation date to arrive at the estimate of fair value. Quoted investments are valued based on quoted prices as of the last day of the relevant period.
The Company intends to release regular estimated NAV updates around ten business days after each month end, while continuing to issue quarterly trading statements. A breakdown of SLEPET's portfolio can be obtained in the January 2015 monthly factsheet, which is published on the Manager's website at www.slcapital.com/IT_European_Private_Equity/getLatest.pdf