NAV falls at Candover Investments as portfolio valuations contract

The value of net assets per share in Candover Investments, the European private equity house, fell 15.2 per cent to 608p in the year ended December 31st.

The value of net assets per share in Candover Investments, the European private equity house, fell 15.2 per cent to 608p in the year ended December 31st.

Preliminary unaudited results for the year showed that portfolio valuations were down 10.7% over the year accounting for over 80% of the drop in net asset value (NAV).

Of the 11 portfolio investments, on a constant currency basis, four were written up, two were unchanged and five were written down.

Net debt decreased by £11.3m to £26.7m following the disposal of Capital Safety Group and receipt of a deferred contingent payment from Wood Mackenzie, offset by a follow-on investment in Stork.

There was a corresponding improvement in the loan-to-value ratio which fell to 18.1%.

Malcolm Fallen, Chief Executive Officer of Candover Invesrtment, said: "We continue to track Arle's [Arle Capital Partners, investment manager] progress in meeting its objectives of maximising the value of the portfolio and preparing the businesses for exit.

"We have not seen as much progress in realising the portfolio as had been envisaged when Arle acquired Candover Partners. However, our aim remains to optimise the long term value of the portfolio by returning cash to shareholders as soon as is practical."

Candover Investments' share price had contracted 9.90% to 383.50p at 13:30 on Friday.

MF

Recommended

The MoneyWeek Podcast: picking stocks is fun, but you need to do your homework
Investment strategy

The MoneyWeek Podcast: picking stocks is fun, but you need to do your homework

John Stepek talks to Steve Clapham, investor, analyst and author of The Smart Money Method, about the dangers in picking individual stocks and why you…
8 Apr 2021
BP looks set to return more money to shareholders as it beats expectations
Energy stocks

BP looks set to return more money to shareholders as it beats expectations

Oil major BP is to embark on a share buyback programme after significantly reducing its debts. Saloni Sardana looks at what it means for your portfoli…
6 Apr 2021
Deliveroo has hit the market – but it’s not getting the warmest welcome
UK stockmarkets

Deliveroo has hit the market – but it’s not getting the warmest welcome

Food delivery company Deliveroo made its debut on the stockmarket this morning. But with the share price sliding by 30% straight away, it’s not made t…
31 Mar 2021
Three stocks to buy now that will come back stronger after Covid-19
Share tips

Three stocks to buy now that will come back stronger after Covid-19

Professional investor Ed Wielechowski of Odyssean Capital, chooses three compelling stocks that should thrive in a post-pandemic world.
29 Mar 2021

Most Popular

The bitcoin bubble will burst: here’s how to play it
Bitcoin

The bitcoin bubble will burst: here’s how to play it

The cryptocurrency’s price has soared far beyond its fundamentals, says Matthew Partridge. Here, he looks at how to short bitcoin.
12 Apr 2021
Four investment trusts for income investors to buy now
Investment trusts

Four investment trusts for income investors to buy now

Some high-yielding listed lending funds have come through the crisis with flying colours. David Stevenson picks four of the best.
12 Apr 2021
Central banks are rushing to build digital currencies. What are they, and what do they mean for you?
Bitcoin

Central banks are rushing to build digital currencies. What are they, and what do they mean for you?

As bitcoin continues to soar in value, many of the world’s central banks are looking to emulate it by issuing their own digital currencies. But centra…
8 Apr 2021