25th Sep 2007 07:00
Standard Life Euro Pri Eqty Tst PLC25 September 2007 Standard Life European Private Equity Trust PLC Investment update for the period from 31 March 2007 to 30 June 2007 For the quarter ended 30 June 2007 the Company made good progress, receivingsignificant distributions and realised and unrealised gains from its privateequity fund interests. This resulted in the Company's unaudited net asset valueper share ("NAV") increasing by 12.7% to 231.3p at 30 June 2007 (diluted NAV -228.0p), up from 205.3p at 31 March 2007 (diluted NAV - 202.1p). As a result,the Company's NAV for the nine months ended 30 June 2007 has increased by 27.0%,up from 182.1p at 30 September 2006 (diluted NAV - 179.6p). Net assets were£369.7 million at 30 June 2007 (31 March 2007 - £326.7 million). During the quarter ended 30 June 2007 a total of £49.1 million was received byway of distributions (quarter ended 31 March 2007 - £37.2 million) from theCompany's 48 private equity fund interests. This comprised total realised gainsand income of £30.3 million (quarter ended 31 March 2007 - £23.8 million), whichwas equivalent to an average return on the Company's acquisition cost ofrealised investments of 2.6 times. This is the highest quantum of distributionsand realised gains and income received in any quarter since the Company'slisting in May 2001. The closing value of the Company's portfolio of fund interests was £300.4million at 30 June 2007 (31 March 2007 - £279.9 million). Total unrealised gainsfor the quarter ended 30 June 2007 were £13.3 million (quarter ended 31 March2007 - £8.3 million loss). The unrealised gains reflected the importantsemi-annual revaluation of most of the Company's fund interests by theirmanagers at 30 June 2007 and principally arose from improved trading at many ofthe underlying investee companies and the rise in comparable listed companyvaluation multiples. As for new investments, during the quarter the Company's portfolio of privateequity fund interests drew down a total of £26.0 million (quarter ended 31 March2007 - £36.3 million). New investment activity remained high, reflecting thestrength of the European buy-out market during the period, with €59.4 billion ofbuy-out transactions completed across Europe in the second calendar quarter of2007. During the quarter to 30 June 2007 the Company made one new fund commitment of€50.0 million (£33.7 million) to Industri Kapital 2007. At 30 June 2007 theCompany's aggregate outstanding commitments to its existing private equity fundinterests were £357.8 million (31 March 2007 - £353.3 million). Thesecommitments can be expected to be drawn down over the next 3-4 years. The aggregate closing cash and money market holdings of the Company were £70.5million at 30 June 2007 (31 March 2007 - £48.9 million). The increase over theperiod principally reflected the net cash inflow received by the Company fromdistributions less draw downs, particularly in the month of June.Notwithstanding, at 30 June 2007 the Company continued to have in excess of 80%of its gross assets invested in private equity assets. The European private equity sector has for the last few years benefited from astrong global economy and highly liquid credit markets. As this quarter'sresults indicate, the Company has participated fully in the sector's growth.Recent loss of confidence and volatility in credit and listed markets makes itdifficult to project, in the short term, the number and scale of private equityopportunities and their potential return. The Board and the Manager do,however, believe that the Company is well positioned and that the funds andprivate equity managers to which it has committed are highly experienced andhave access to transactions in attractive market segments. Accordingly, theBoard remains confident of the Company's future performance. It is anticipated that the Company will release its preliminary announcement forthe year ending 30 September 2007 on or around 28 November 2007. For further information please contact:- Peter McKellar of Standard Life Investments (Private Equity) Limited (0131 2450055) Note:- Standard Life European Private Equity Trust PLC is an investment company managedby Standard Life Investments (Private Equity) Limited, the ordinary shares ofwhich are admitted to listing by the UK Listing Authority and to trading on theStock Exchange and which seeks to conduct its affairs so as to qualify as aninvestment trust under section 842 of the Income and Corporation Taxes Act 1988.The Board of Standard Life European Private Equity Trust PLC is independent ofStandard Life plc. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
SLPE.L