NAV up by 13.8% in the first nine months of 2010

News Release

Guernsey, 9 November 2010

Princess NAV up by 13.8% in the first nine months of 2010

Princess Private Equity Holding Limited (Princess) published its interim report for the nine months ended 30 September 2010 today. Notable events include:

n The net asset value (NAV) of Princess increased by 13.8% to EUR 8.35 per share in the first nine months of 2010

n The prime driver of the rise in the NAV has been the strong operating performance of the companies in the Princess portfolio, with an impact of +12.0%

n Foreign exchange movements contributed +4.5% to the NAV development over the first nine months of the year despite the weakening of the US dollar in the third quarter, with the latter effect being partially mitigated by gains from Princess' foreign exchange hedging contracts 

n Deal activity in the Princess portfolio has significant rebounded with EUR 59.5 million in new investments and EUR 61.3 million in distributions from exits

n The Princess share price continued to perform strongly, taking year-to-date gains to 48.7% after closing at EUR 5.04 per share on the Frankfurt Stock Exchange

n After the end of the reporting period, Princess announced a strategic portfolio repositioning with the aim of closing the current discount to the NAV

n The repositioning includes a gradual redirection of the investment focus of Princess towards direct investments, steps to resume dividend payments over the short-term and possible share buy-backs as well as an ongoing secondary sale of select fund commitments to facilitate the repositioning

Brian Human, Chairman of Princess' Board of Directors, comments: "We are pleased with the continuing strong operating performance of the companies in the Princess portfolio which had the largest impact on the positive NAV development year-to-date. The comfortable liquidity position of Princess should be maintained due to strong exit activity and, together with the anticipated cash proceeds from the secondary sale of select fund commitments, should facilitate the repositioning measures during the months to come. We are fully committed to building Princess' shareholder value and believe that the strategic portfolio repositioning should address the discount to NAV."

A detailed analysis and commentary on the first three quarters' developments at Princess are presented in the interim report published today, which can be accessed via http://www.princess-privateequity.net/en/investor_relations/reports.php?ml

Ends.

About Princess

Princess is an investment holding company founded in 1999 and domiciled in Guernsey. It invests, inter alia, in private equity and private debt investments. Princess is advised in its investment activities by Partners Group AG, a global private markets investment management firm with over EUR 20 billion in investment programs under management in private equity, private debt, private real estate and private infrastructure. Princess aims to provide shareholders with long-term capital growth and an attractive dividend yield. Princess is traded on the Frankfurt Stock Exchange (ticker symbol: PEY1) and on the London Stock Exchange (ticker symbol: PEY). Further information: www.princess-privateequity.net

Contacts

Princess Private Equity Holding Limited:

[email protected]

www.princess-privateequity.net

Registered Number: 35241

Media enquiries:

Partners Group AG

Dr. Anna Hollmann

Communications

Tel.: +41 41 768 83 72

[email protected]

www.partnersgroup.com

This document does not constitute an offer to sell or a solicitation of an offer to buy or subscribe for any securities and neither is it intended to be an investment advertisement or sales instrument of Princess Private Equity Holding Limited. The distribution of this document may be restricted by law in certain jurisdictions. Persons into whose possession this document comes must inform themselves about, and observe any such restrictions on the distribution of this document. In particular, this document and the information contained therein is not for distribution or publication, neither directly nor indirectly, in or into the United States of America, Canada, Australia or Japan.

This document may have been prepared using financial information contained in the books and records of the product described herein as of the reporting date. This information is believed to be accurate but has not been audited by any third party. This document may describe past performance, which may not be indicative of future results. No liability is accepted for any actions taken on the basis of the information provided in this document. Neither the contents of Princess' website nor the contents of any website accessible from hyperlinks on Princess' website (or any other website) is incorporated into, or forms part of, this announcement.