28th Sep 2006 07:01
3i Group PLC28 September 2006 28 September 2006 3i Group plc - Pre-close period briefing 3i Group plc ("3i"), a world leader in private equity and venture capital, willbe holding discussions with analysts and investors ahead of its close period forthe six months ending 30 September 2006. This statement sets out theinformation that will be covered in those discussions. 3i expects to announceits interim results for the six months ending 30 September 2006 on 9 November2006. Philip Yea, 3i's Chief Executive, said: "The year so far has seen a strong performance and we continue to make very goodprogress in delivering our strategic objectives. Realisations continue tobenefit from a favourable market environment and have been stronger thananticipated at the time of our annual results announcement in May. Although we continue to be highly selective in making new investment, ourinternational reach continues to generate a steady flow of good opportunities." The main topics that will be discussed with analysts and investors are set outbelow. 1 Investments and realisations 3i invested a total of £568 million in the five months ended 31 August 2006,compared with £578 million in the equivalent period last year. This includes£116 million (2005: £74 million) invested on behalf of co-investment fundsmanaged by 3i. Realisation proceeds received by 3i (excluding funds) were strong at £627million in the five months ended 31 August 2006, which compares with theexceptional level of realisation proceeds of £910 million in the equivalentperiod last year. 2 Returns The overall performance of the Group for the six months to 30 September 2006 isanticipated to be in line with its return objectives. The Buyout and GrowthCapital business lines have generated strong gross portfolio returns during theperiod. As a result of the mark-to-market valuation of its quoted portfolio,Venture Capital is expected to deliver a negative gross portfolio return for thehalf year. Realisations for the six month period are anticipated to have generated anaggregate uplift over 31 March 2006 carrying values ahead of the upliftpercentage generated during the same period last year. 3 Eurofund V On 9 August the Company announced the first close of its latest Europeanmid-market buyout fund at €4.3 billion. Final close, which is expected thisautumn, is anticipated to reach €5.0 billion. This is ahead of the originaltarget for Eurofund V of €3.5 billion. The Company's commitment will be some55% of the total fund as previously indicated. 4 Return of capital to shareholders Shareholders approved a £700 million bonus issue of listed B shares and an 11for 13 share capital consolidation at 3i's EGM on 12 July 2006. On 17 July, theB shares were issued and dealings commenced in the B shares and the consolidatedordinary shares. In the Initial Purchase Offer and the Company Offer (both asdefined in the 3i's circular to Shareholders dated 15 June 2006), shareholderssold, in aggregate, £689 million of B shares (98.4% of the amount issued). Ends For information please contact: Simon Ball Finance Director, 3i Group plc 020 7975 3356Patrick Dunne Group Communications Director, 3i Group plc 020 7975 3283Philip Gawith Maitland 020 7379 5151 This statement aims to give an indication of 3i's expected return (and of keycomponents of that return) for the six months to 30 September 2006. Theseindications reflect the Board's current view. They are subject to a number ofrisks and uncertainties and could change. In particular, an important elementin the determination of 3i's results for the six months to 30 September 2006 isthe detailed valuation exercise carried out on its investment portfolio as atthat date. The final results for the six months to 30 September 2006, due to bereported on 9 November 2006, may differ accordingly. Factors which could causeor contribute to such differences include, but are not limited to, generaleconomic and market conditions and specific factors affecting the financialprospects or performance of individual investments within 3i's portfolio. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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