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.

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