18 Sep 2009 07:00
Standard Life European Private Equity Trust PLC
Investment update for the quarter from 31 March 2009 to 30 June 2009
NAV declined to 151.1p as at 30 June 2009 from 182.4p as at 31 March 2009
Decline driven by £24.5 million loss on previously announced sale of five private equity fund interests and a £27.7 million unrealised foreign currency exchange movement
Portfolio on a constant currency basis fell £1.2 million, or 0.4%, over the quarter
100% by value of the portfolio was valued by the respective underlying managers as at 30 June 2009
Outstanding commitments down to £223.9 million as at 30 June 2009 from £317.5 million as at 31 March 2009
For the quarter ended 30 June 2009 the Company experienced a decline in net asset value per ordinary share ("NAV"), with the Company's unaudited NAV falling to 151.1p as at 30 June 2009. The Company's NAV was 182.4p as at 31 March 2009 and, adjusted for the previously announced sale of five private equity fund interests undertaken following 31 March 2009, the Company's pro-forma NAV was 167.5p as at 31 March 2009. Accordingly, the fall in NAV over the quarter ended 30 June 2009, excluding the losses on the sale of fund interests, was 9.8% of the opening pro-forma NAV. As at 30 June 2009 the Company's net assets were £243.3 million (31 March 2009 - £293.4 million; pro-forma 31 March 2009 - £269.3 million).
The closing value of the Company's portfolio of private equity fund interests was £261.5 million as at 30 June 2009 (31 March 2009 - £322.9 million). Total net losses for the quarter ended 30 June 2009 were £51.7 million, of which £24.5 million were realised losses attributable to the sale of the above five private equity fund interests and £27.7 million were unrealised losses due to movements in the value of the portfolio. The unrealised losses on the portfolio comprised £26.5 million of foreign exchange losses, as sterling appreciated by 8.8% and 14.9% relative to the euro and the dollar respectively during the period, and £1.2 million of losses on a constant currency basis. The closing value of the portfolio incorporated valuations of 100% by value of the Company's private equity funds by their respective managers as at 30 June 2009.
During the quarter ended 30 June 2009 a total of £0.8 million was received by way of distributions from the Company's private equity fund interests. This comprised total realised gains and income of £0.7 million. The small quantum of distributions and realised gains and income received reflected the continuing low level of activity in the European private equity market. During the quarter the Company also received net proceeds from the sale of private equity fund interests of £17.8 million. As for new investment activity, during the quarter the Company's portfolio of private equity fund interests drew down a total of £7.8 million.
During the quarter ended 30 June 2009 the Company made no new private equity fund commitments. The Company had aggregate outstanding commitments to its private equity fund interests of £223.9 million as at 30 June 2009 (31 March 2009 - £317.5 million). The majority of the fall in outstanding commitments during the quarter arose from the sale of the five private equity fund interests referred to above.
As at 30 June 2009 the Company had net indebtedness of £18.2 million (31 March 2009 - net indebtedness of £30.7 million).
On 30 June 2009 the Company issued 262,410 ordinary shares following the conversion of 262,410 Founder A shares by a member of the Company's manager, SL Capital Partners LLP. Further to this issue of ordinary shares the Company's total issued ordinary share capital is 161,066,017 ordinary shares of 0.2p each.
It is anticipated that the Company will release its preliminary announcement for the year ending 30 September 2009 on or around 3 December 2009.
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 842 of the Income and Corporation Taxes Act 1988. The Board of Standard Life European Private Equity Trust PLC is independent of Standard Life plc.