REG - Chrysalis Investment - Management Arrangements and Self-Managed Model

Chrysalis InvestmentsAnnouncement

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RNS Number : 9103C  Chrysalis Investments Limited  05 May 2026

 

 

5 May 2026

Chrysalis Investments Limited ("Chrysalis" or the "Company")

Management Arrangements and Transition to Self-Managed Model

 

The Board of Chrysalis Investments Limited (the "Company") today provides an
update on its ongoing management arrangements following shareholder approval
of the Company's updated investment policy at the Extraordinary General
Meeting held on 24 March 2026.

Transition to Self-Managed Model

Further to the announcement of 20 February 2026, the Company confirms its
decision to transition to a self-managed model to execute its updated
investment policy. The Company is currently working with its Investment
Adviser, Chrysalis Investment Partners LLP ("CIP"), to transition key
operational functions - including reporting, accounting, finance, legal, and
risk management - to alternative arrangements.

This transition is scheduled to be completed by the expiry of the Investment
Adviser's notice period on 20 August 2026. This move to a self-managed model
is designed to ensure the Company continues to exercise robust portfolio
management and oversight of its assets, specifically regarding the maintenance
of governance and information rights during the execution of the new policy.

AIFM and Regulatory Services Update

The Company has also served six months' notice on G10 Capital Limited (part of
the IQ-EQ group), which currently serves as the Company's Alternative
Investment Fund Manager ("AIFM"). G10 Capital will continue to act in this
capacity throughout the notice period, which will expire on 1 November 2026.

Following the expiry of the notice period, the Board expects that portfolio
oversight, risk management, valuation oversight, regulatory compliance, and
financial reporting will continue to be provided by G10 Capital on a
fixed-fee, non-AIFM basis, subject to final agreement.

The proposed changes remain subject to certain regulatory filings which are
not expected to impact the proposed timing.

Board Oversight and Execution

Sam Dobbyn will lead the oversight of this transition.  He will act as the
central point of accountability between the Board, the Investment Adviser, and
the Company's broader advisory suite.

The Board will retain full oversight of strategy, investment, and disposal
decisions. Sam Dobbyn, who was appointed to the board on 20 February 2026
will, alongside colleagues and external specialists, take on the oversight and
governance at specific  portfolio companies.

Financial Impact

The Board remains confident that this self-managed approach provides the
requisite risk control, portfolio management expertise, and transparency while
delivering a material reduction in the Company's ongoing cost base. Current
planning assumptions indicate that the annual operating cost of the new
structure remains in line with previous guidance.

Capital Allocation and Share Buyback Update

Further to the approval of the investment policy, the Board today announces
the formal discontinuation of the current share buyback programme, which was
initiated on 26 September 2024 and has returned £117 million to shareholders.

Under the new capital allocation policy, future capital returns will be
contingent on cash realisations and will be subject to prior repayment of the
Company's borrowing facility. The Board will prioritise:

1.   The maintenance of a robust working capital buffer to fund the
Company's internalised operating costs.

2.   Strategic follow-on investments (where permitted under the investment
policy) to protect or enhance value ahead of anticipated exit windows.

3.   Surplus cash thereafter will be assessed for shareholder returns, with
a preference for pro rata distributions to all shareholders.

Investment Strategy

The Board will retain full oversight of strategy, investment, and disposal
decisions. Further updates will be provided as the transition milestones are
reached.

The Board would like to thank Richard Watts, Nick Williamson, and the entire
team at CIP, as well as the G10 Capital team, for their continued support
during this period.

 

 

 

 

 

 

-ENDS-

 For further information, please contact

                                             +44 (0) 7921 881 800

 Media                                       chrysalis@montfort.london

 Montfort Communications:

 Charlotte McMullen / Imogen Saunders

 Investment Adviser                          +44 (0) 20 7871 5343

 Chrysalis Investment Partners LLP:

 James Simpson

 Rothschild & Co:                            +44 (0) 20 7280 5000
 Alice Squires / Tim Brenton / Ahmed Jibril

 G10 Capital Limited (AIFM):                 +44 (0) 20 7397 5450
 Dominic Williams

 Barclays Bank PLC:                          +44 (0) 20 7623 2323

 Dion Di Miceli / James Atkinson

 Panmure Liberum:                            +44 (0) 20 3100 2222

 Chris Clarke / Darren Vickers

 Deutsche Numis:                             +44 (0) 20 7260 1000

 Nathan Brown / Matt Goss

 IQEQ Fund Services (Guernsey) Limited:      +44 (0) 1481 231852

 Aimee Gontier / Elaine Smeja

 

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