FTSE 250-listed Electra Private Equity has unveiled the valuation impact of the initial public offering of UK motor insurer esure, its third largest investment of September 30th 2012.
In February 2010, Electra invested £30m via the Tosca Penta Investments LP fund in the management buyout of esure from Lloyds Banking Group, led by Peter Wood, founder and Executive Chairman of esure.
To date, £15.3m of Electra's original investment has been repaid.
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As a result of esure's IPO, Electra is due to receive further cash proceeds of £51.5m which represent the repayment of the remaining prior ranking capital, the yield thereon, and the sale of ordinary shares.
In addition, Electra - via its holding in the Tosca Penta Investments LP fund - will hold 6.19m ordinary shares in esure which are subject to over-allotment or lock-up arrangements. At the IPO price, these shares have a valuation of £17.9m.
This represents anuplift in Electra's diluted Net Asset Value (NAV) per share of 33p from the audited accounts at September 30th 2012, as well as the Interim Management Statement at December 31st 2012.
Electra Private Equity's share price was up 0.08% to 2,368p at 08:28 on Friday.
MF
