29 Jan 2013 16:37
Standard Life European Private Equity Trust PLC
Interim management statement for the quarter ended 31 December 2012
Standard Life European Private Equity Trust PLC ("the Company") presents its interim management statement for the period from 1 October 2012 to 31 December 2012. This announcement constitutes the Company's first interim management statement for the year ending 30 September 2013 in accordance with rule 4.3 of the UK Listing Authority's Disclosure and Transparency Rules. This interim statement summarises information as at 31 December 2012 and any material developments up to 29 January 2013.
Investment objective
To achieve long-term capital gains through holding a diversified portfolio of private equity funds investing predominantly in Europe.
Benchmark
The Company has no defined benchmark.
Performance
The Company's audited net asset value per ordinary share ("NAV") was 227.6p at 30 September 2012 (diluted - 224.9p). The Company's NAV at 31 December 2012 will be announced on or around 19 March 2013. The share price of the Company's ordinary shares was 167.5p at 31 December 2012, compared to 162.4p at 30 September 2012, a rise of 3.1% over the quarter. Over the same period the MSCI Europe Index (in euros) and the FTSE All Share Index (in sterling) rose by 4.5% and 3.8% respectively.
Financial position
The quarter ended 31 December 2012 saw an increase in new investment and realisation activity in the European private equity market, notably for transactions with an enterprise value over €1 billion. The value of all new private equity transactions in the European private equity market announced during the quarter was €24.6 billion (quarter ended 30 September 2012 - €13.5 billion), of which €22.8 billion comprised buy-out transactions (quarter ended 30 September 2012 - €12.3 billion).
Distributions received by the Company during the quarter ended 31 December 2012 were £17.3 million (quarter ended 30 September 2012 - £32.0 million) and the Company funded £15.4 million of draw downs (quarter ended 30 September 2012 - £15.9 million).
In line with the Company's investment strategy, a new commitment of €20.0 million was made to Advent Global Private Equity VII in November 2012 and one of €30.0 million was made to IK VII in December 2012. The Company has invested in prior funds of each of the respective managers. At 31 December 2012 the Company had aggregate outstanding commitments of £156.0 million to 39 private equity fund interests (30 September 2012 - £129.0 million and 37 fund interests).
At 31 December 2012 the Company had a net cash balance of £3.1 million (30 September 2012 - net cash balance of £3.5 million).
On 31 December 2012 the Company announced that it had entered into a new £80 million revolving credit facility, led by The Royal Bank of Scotland plc, replacing the Company's existing debt facility. The new debt facility expires on 31 December 2016.
Events and transactions in the subsequent period to 29 January 2013
During January 2013 the Company agreed the purchase of an original commitment of €7.0 million to Charterhouse Capital Partners IX, a fund the Company was not able to commit to when it was raised in 2009. The fund interest will be acquired at a 5% discount to the 30 June 2012 valuation of the fund, adjusted for subsequent cashflows. The purchase price for the interest is £2.8 million and the Company will assume outstanding commitments of £2.8 million. This transaction is expected to complete shortly.
During the period from 1 January to 28 January 2013 the Company received £0.7 million of distributions and funded £0.4 million of draw downs. At 28 January 2013 the Company had a net cash balance of £3.2 million and outstanding commitments of £163.8 million.
At the Company's annual general meeting held today shareholders approved a final dividend for the year ended 30 September 2012 of 2.0p per ordinary share. The final dividend will be paid on 1 February 2013.
Directorate changes
As announced at the time of the Company's preliminary announcement in December 2012, Scott Dobbie, Chairman, retired from the Board of the Company at the conclusion of the annual general meeting held today. Edmond Warner has been appointed Chairman.
Separately, the Board announced today the appointment of Christina McComb as a non-executive director with effect from the conclusion of the annual general meeting.
There are no other material events or transactions to announce.
For further information on the statement 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 Section 1158 of the Corporation Tax Act 2010. The Board of Standard Life European Private Equity Trust PLC is independent of Standard Life plc.