16 Mar 2011 07:30
Standard Life European Private Equity Trust PLC
Announcement regarding investment update
for the quarter ended 31 December 2010
"Standard Life European Private Equity Trust PLC
Investment update for the quarter from 1 October 2010 to 31 December 2010
·; NAV increased by 10.4% to 215.6p for the quarter ended 31 December 2010
·; The increase in NAV during the quarter was driven by £28.0 million (8.9% of opening NAV) of unrealised gains on the portfolio on a constant exchange rate basis; this was offset by an unrealised foreign exchange loss of £2.8 million
·; Net realised gains and income generated during the quarter were £8.7 million (2.7% of opening NAV)
·; During the quarter the Company received £22.5 million of distributions and funded £20.0 million of drawdowns
·; 100% by value of the portfolio was valued by the respective underlying managers at 31 December 2010
·; For the six months and calendar year ended 31 December 2010 NAV increased by 17.4% and 22.8% respectively
·; Outstanding commitments were £129.2 million at 31 December 2010
·; Net indebtedness was £53.3 million at 31 December 2010
For the quarter ended 31 December 2010 the Company's net asset value per ordinary share ("NAV") increased by 10.4% to 215.6p (diluted NAV - 213.1p), from 195.3p at 30 September 2010 (diluted NAV - 193.3p). The principal reason for the uplift in NAV was a continuing growth in profits at the underlying investee companies within the Company's portfolio of fund interests, enhanced by the impact of gearing within those companies. At 31 December 2010 the Company's net assets were £348.0 million (30 September 2010 - £315.2 million).
The closing value of the Company's portfolio of 38 private equity fund interests was £401.0 million at 31 December 2010 (30 September 2010 - £369.6 million). Total net unrealised gains for the quarter were £25.2 million, of which £28.0 million were net unrealised gains on a constant exchange rate basis and £2.8 million were net unrealised foreign exchange losses. During the quarter ended 31 December 2010 sterling appreciated by 1.1% against the euro and depreciated 0.6% against the US dollar.
The quarter ended 31 December 2010 benefited from the continuing increase in new investment and realisation activity in the European private equity market in the second half of 2010. Distributions received rose to £22.5 million (quarter ended 30 September 2010 - £8.7 million); this was the highest quantum of distributions received by the Company for any quarter since the quarter ended 30 September 2007 and compares to £23.0 million of distributions received in the full year ended 30 September 2010. The distributions received during the quarter ended 31 December 2010 generated net realised gains and income of £8.7 million. During the quarter the Company funded £20.0 million of draw downs (quarter ended 30 September 2010 - £22.8 million).
At 31 December 2010 the Company had aggregate outstanding commitments to its private equity fund interests of £129.2 million (30 September 2010 - £150.3 million). No new fund commitments were made in the quarter, but the Board expects the Company to be able to make new fund commitments shortly. The Company had net indebtedness of £53.3 million at 31 December 2010 (30 September 2010 - net indebtedness of £54.2 million). During the quarter the Company entered into a new £120 million syndicated revolving credit facility, which expires on 31 December 2013.
In the period from 1 January 2011 to 14 March 2011 the Company received £11.4 million of distributions and funded £9.6 million of draw downs. Taking account of draw downs, distributions, expenses and other movements since 1 January 2011, the Company's total outstanding commitments and net indebtedness were £119.8 million and £53.1 million respectively at 14 March 2011.
It is anticipated that the Company will release its interim announcement for the six months ending 31 March 2011 on or around 27 May 2011.
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 section 1148 - 1165 of the Corporation Taxes Act 2010. The Board of Standard Life European Private Equity Trust PLC is independent of Standard Life plc.
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Peter McKellar
SL Capital Partners LLP
15 March 2011