29th Sep 2005 07:02
3i Group PLC29 September 2005 29 September 2005 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 2005. 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 2005 on 10 November2005. The main topics that will be discussed with analysts and investors are set outbelow. 1 Investment and realisations 3i invested a total of £578 million in the five months ended 31 August 2005,compared with £365 million in the equivalent period last year. This includes£74 million (2004: £71 million) invested on behalf of co-investment fundsmanaged by 3i. Realisation proceeds received by 3i (excluding funds) totalled £910 million inthe five months ended 31 August 2005, which compares with realisation proceedsof £577 million in the equivalent period last year. During the month of September, the amount invested by 3i (excluding funds) isexpected to exceed realisation proceeds. 2 Returns An important element in the determination of 3i's results for the six months to30 September 2005 is the detailed valuation exercise carried out on itsinvestment portfolio as at that date. Realisations for the six month period are anticipated to have generated anaggregate uplift percentage over 31 March 2005 carrying values, broadly in-linewith that for the same period last year. The unrealised value movement for the six month period is expected to besubstantially higher than in the same period last year, reflecting sales orinitial public offerings anticipated early in the second half of the financialyear, together with uplifts to carrying values reflecting the rise in quotedmarkets over the period. Provisions against the carrying value of investmentsin businesses which may fail are expected to be broadly in-line with those madein the equivalent period last year. During the period, the cumulative performance of Eurofund III, 3i's 1999pan-European fund, passed through the point at which recognition of carriedinterest receivable in 3i's accounts is triggered. The net carried interestposition for 3i for the period is expected to be a net receivable. 3 Return of capital to shareholders 3i paid a special dividend of approximately £245 million to shareholders in July2005. In addition, having obtained shareholders' approval on 6 July, 3i hassince then made aggregate purchases of £150 million (exclusive of expenses). Philip Yea, 3i's Chief Executive, said: "The year so far has seen a strong all-round performance. Realisations havecontinued to benefit from an excellent financing environment, and the level ofquoted markets has also to-date been favourable. We have enjoyed a steady flowof good investment opportunities, helped by a strong pipeline as we entered thefinancial year. "In addition, we continue to make good progress on a number of our strategicinitiatives especially in Asia and with our approach to Growth Capitalinvesting." 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 The Maitland Consultancy 020 7379 5151 This statement aims to give some indication of 3i's expected return (and of keycomponents of that return) for the six months to 30 September 2005. Theseindications reflect the Board's current view. They are subject to a number ofrisks and uncertainties and could change. The final numbers for the six monthsto 30 September 2005, due to be reported on 10 November 2005, may differaccordingly. Factors which could cause or contribute to such differencesinclude, but are not limited to, general economic and market conditions andspecific factors affecting the financial prospects or performance of individualinvestments within 3i's portfolio. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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