16th Apr 2014 09:56
LONDON (Alliance News) - Closed-ended investment company Ashmore Global Opportunities Ltd Wednesday said its net asset value per share fell at the end of 2013, after the write down in valuation of one of its assets, Odebrecht Agroindustrial, the write down in value of ECI Telecom and a fall in the share price of Indian commodity exchange, MCX.
The firm said its net asset value per share dipped to USD6.26 and GBP6.19 at the end of 2013 from USD7.92 and GBP7.77 a year earlier.
"Whilst these write downs are regrettable, recent exits have been made at or above the latest valuation levels and the investment manager believes that there is considerable upside potential remaining in the portfolio, much of which could be realised in the coming year," Ashmore said.
Ashmore said the US dollar and sterling share prices stood at USD4.72 and GBP4.40 respectively as at December 31, decreases of 10.1% and 19.0% respectively against December 2012 levels.
At the period-end the company's net asset value stood at USD278.2 million and the market capitalisation was USD201.8 million, reflecting an average discount of 27.4% between the net asset values per share and the share prices.
"While the board recognises that the discounts of the share prices to the net asset values per share remain around December 2012 levels (in percentage terms), it is encouraged by the recent exits and associated distributions," Ashmore said.
The firm said shareholders should also recognise that during the year to date over one-third of their shareholdings have been paid out at a nil discount to net asset value.
During the period the company appointment of non-executive Director Richard Hotchkis as Chairman, replacing Jonathan Agnew who retired.
Looking ahead, the company said its investment manager remains focused on a speedy and orderly realisation of the company's investments, in line with the board's desire to return cash to shareholders both as quickly as possible and at full valuations.
By Anthony Tshibangu; [email protected]; @AnthonyAllNews
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