SVG Capital's first quarter NAV rises

Private equity firm SVG Capital unveiled a 13 per cent increase in net asset value (NAV) to 443p for the first three months of the year buoyed by strong performance of its investment partner Permira.

Private equity firm SVG Capital unveiled a 13 per cent increase in net asset value (NAV) to 443p for the first three months of the year buoyed by strong performance of its investment partner Permira.

The company achieved a 15% total return on its investment portfolio on the back of growth of Permira, whose investments in Hugo Boss and Freescale added £63m or 23p per share.

A further €100m commitment to Permira was made along with €100m to the Fifth Cinven Fund.

At the end of the period SVG had cash balances of £298.9m and gross borrowings of £251.7m, bringing the group's net cash position to £47.6m.

During the period, the company agreed to sell 50.1% of its private equity fund management business to Aberdeen Asset Management.

The three year strategic alliance will combine the companies' private equity funds with assets under management of £4.7bn. The sale is expected to add at least 13.7p per share to the company's NAV once completed in May.

"The portfolio is performing well with companies budgeting for continued growth in 2013," the company said in a statement.

RD

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