REG - CT Private Eq Trust - Preliminary results and Dividend Announcement
28/03/2025 07:00
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RNS Number : 5906C CT Private Equity Trust PLC 28 March 2025
To: Stock Exchange
Date: 28 March 2025
CT Private Equity Trust PLC
LEI: 2138009FW98WZFCGRN66
Preliminary Announcement for the Year Ended 31 December 2024
CT Private Equity Trust PLC today announces its unaudited financial results
for the year ended 31 December 2024.
Financial Highlights
· Share price total return for the year of 10.9 per cent for the Ordinary Shares.*
· NAV of 706.03 pence per Ordinary Share reflecting a total return for
the year of 4.6 per cent.*
· Total quarterly dividends for the year of 28.04 pence per Ordinary
Share. Quarterly dividend of 7.01 pence per Ordinary Share to be paid on 30
April 2025.
· Dividend yield of 5.7 per cent based on the year-end share price.*
£146 million of dividends returned to Shareholders since January 2013.
This represents a ten-year compound annual growth rate of 10.0%.
· Realisations for 2024 of £108.6 million, an increase of 76% in
comparison to 2023.
· As at 31 December 2024 net debt was £76.5 million equivalent to a
gearing level of 13.2%.
· The Company enters 2025 with a strong balance sheet and a
well-diversified portfolio of high growth and dynamic companies.
*see Alternative Performance Measures
Chairman's Statement
Fellow Shareholders,
This report is for the year ended 31 December 2024. The NAV per share at the
year-end was 706.03p (2023: 702.50p). Taking account of the dividends
received by Shareholders during this year your Company achieved a net asset
value ("NAV") total return of 4.6 per cent (2023: 2.8 per cent).
The share price at the year-end was 488.00p per share (2023: 468.00p). The
share price total return for the year was 10.9 per cent (2023: 17.6 per
cent). This compares to a total return from the FTSE All-Share Index for
2024 of 9.5 per cent (2023: 7.9 per cent).
The share price discount as at 31 December 2024 was 30.9 per cent (2023:
33.4%)*.
During the year the Company made new investments, either through funds or as
co-investments, totalling £58.7 million. Realisations and associated income
totalled £108.6 million. Outstanding undrawn commitments at the year-end were
£193.0 million of which £27.0 million was to funds where the investment
period had expired.
Approximately 91 per cent of the valuation by value is based on 31 December
2024 valuations and 9 per cent on September 2024 valuations.
The Company's performance fee arrangements contain a hurdle rate, calculated
over rolling three-year periods, of an IRR of 8.0 per cent per annum. The
annual IRR of the NAV for the three-year period ended 31 December 2024 was 7.7
per cent and, consequently, a performance fee is not payable to the Manager,
in respect of 2024.
Capital Allocation
Since its foundation, the Company has been both innovative and proactive with
regard to its capital strategy. The Board regularly reviews the Company's
capital allocation and seeks to balance the benefits of an immediate
enhancement to NAV from share buybacks against the anticipated longer-term
returns from new investment.
Dividends
The Company's innovative dividend policy was introduced in 2012 and remains
the cornerstone of the Company's capital allocation strategy. The Company pays
a substantial dividend from realised profits allowing Shareholders to
participate, to some degree, directly in the proceeds of the steady stream of
private equity realisations which the Company achieves. Since 1 January 2013
the Company has returned £146 million of dividends to Shareholders. This
represents a ten-year compound annual growth rate of 10.0 per cent. This
policy provides for a steadily growing dividend with downside protection. Your
Board is fully committed to maintaining this approach for the foreseeable
future.
The Company's quarterly dividends are payable in respect of the quarters ended
31 March, 30 June, 30 September and 31 December and are paid in the following
July, October, January and April respectively. As Shareholders do not have an
opportunity to approve a final dividend at each Annual General Meeting,
Shareholders are asked to approve the Company's dividend policy at the
forthcoming Annual General Meeting.
In accordance with the Company's stated dividend policy, the Board recommends
a further quarterly dividend of 7.01 pence per Ordinary Share, payable on 30
April 2025 to Shareholders on the register on 11 April 2025 and an ex-dividend
date of 10 April 2025. Total dividends paid for the year therefore amount to
28.04 pence per Ordinary Share equivalent to a dividend yield of 5.7 per cent
at the year-end.
Share Buybacks
The Company does not have a stated discount management policy. However, the
Board recognises the importance of movements in the Company's discount upon
the return that Shareholders receive and monitors closely the discount's
absolute and relative levels. At the Annual General Meeting held on 29 May
2024, the Board sought and received from Shareholders the authority to buy
back up to 14.99% of the Company's share capital. Buybacks can only be made at
a cost per share which is below the prevailing NAV.
During the year ended 31 December 2024 the Company bought back, to be held in
treasury, a total of 1.25 million shares. This equated to 1.7% of the shares
in issue, excluding those held in treasury, at 31 December 2023. The shares
were bought back in two tranches at 460 pence per share and cost, in total,
£5.8 million.
These shares are held in treasury to allow the Company to re-issue them
quickly and cost effectively. At last year's AGM the Board sought and received
the authority from Shareholders to re-issue treasury shares or issue new
shares, subject to limitations on the number and price. Treasury shares can
only be re-issued and new shares issued at a price which would not dilute the
NAV of existing Shareholders.
The Board seeks renewal of these buyback and reissuance authorities at the AGM
to be held on 29 May 2025.
The Company continues to appraise the relative merits of using capital for
share buybacks versus new investment whilst protecting and growing the
dividend.
Financing
To reflect the growth in the size of the Company during February 2024, the
Company entered into a revised loan agreement with RBSI and State Street.
The revised loan agreement increased the €25 million term loan with RBSI to
€60 million and retained the revolving credit facility with RBSI and State
Street at £95 million. The term of the agreement, which was due to expire
in June 2024, was extended to February 2027.
The Company had net debt at 31 December 2024 of £76.5 million (31 December
2023: £87.2 million). This represents gearing of 13.2% (31 December 2023:
14.6%). Approximately half of the Company's borrowing facilities are unused
with plenty of headroom.
Annual General Meeting
The Annual General Meeting ("AGM") will be held at 13.00 on 29 May 2025 at the
offices of Columbia Threadneedle Investments, Cannon Place, Cannon Street,
London EC4N 6AG. This will be followed by a presentation by Hamish Mair, the
Company's Investment Manager on the Company and its investment portfolio.
For Shareholders who are unable to attend the meeting, any questions they may
have regarding the resolutions proposed at the AGM or the performance of the
Company can be directed to a dedicated email account,
petagm@columbiathreadneedle.com, by Thursday 22 May 2025. The Board will
endeavour to ensure that questions received by such date will be addressed at
the meeting. The meeting will be recorded and will be available to view on
the Company's website, ctprivateequitytrust.com, shortly thereafter.
In addition, the AGM and Investment Manager presentation will be broadcast
live on the Investor Meet Company platform. This broadcast is open to all
existing and potential Shareholders to view. Questions can be submitted
pre-event via the Investor Meet Company dashboard up until 9.00am on 28 May
2025. Investors can sign up to Investor Meet Company for free and add to meet
CT Private Equity Trust plc via
www.investormeetcompany.com/ct-private-equity-trust-plc/register-investor
(http://www.investormeetcompany.com/ct-private-equity-trust-plc/register-investor)
. Investors who already follow CT Private Equity Trust plc on the Investor
Meet Company platform will automatically be invited.
All Shareholders that cannot attend in person are encouraged to complete and
submit their Form of Proxy or Form of Direction in advance of the meeting to
ensure that their votes will count.
Review and Outlook
We have experienced significant changes over the last five years. Post
pandemic markets are significantly more volatile. Across the developed world
public debt is at record levels, a legacy of the pandemic and the earlier
period of ultra-low interest rates. According to the Institute of
International Finance global debt reached a record high of $318 trillion in
2024. The debt burden has been further increased by a normalisation of
interest rates, further stretching public budgets many of which were already
challenged by aging populations and climate change. Geopolitical risks have
also increased significantly, with Russia's invasion of Ukraine, war in the
Middle East, an increasingly assertive China and a significant shift in US
foreign policy. Meanwhile listed markets have become increasingly
concentrated, in a few very large US technology stocks (at the end of 2024 the
'magnificent seven', Nvidia, Apple, Amazon, Alphabet, Meta, Microsoft and
Tesla, accounted for nearly a quarter of the MSCI World index) increasing
systemic risk.
As described in the Investment Manager's Review your Company's portfolio has
coped exceptionally well with these challenges, providing Shareholders with
both capital growth and income while mitigating risk through strong
diversification. Over the last five years your Company has delivered an
impressive NAV total return of 105.9%. The Company's long term track record
was recognised by The Association of Investment Companies ("the AIC"), which
named CT Private Equity Trust PLC as the ninth best performing investment
trust over the last ten years in February 2025. Having paid a steadily
increasing dividend for over 12 years the Company is also recognised as an AIC
Next Generation Dividend Hero. To qualify an investment trust requires
sustained growth in annual dividends for ten years. This combination of strong
growth and income yield puts your CT Private Equity Trust PLC in rare
company.
This excellent performance is based on the strength of the underlying
fundamentals for our investee companies which, supported by our investment
partners, have adapted to changing environments and recorded impressive growth
in revenues and profits. Meanwhile the flow of investment opportunities that
your managers appraise remains very strong reflecting the breadth of the
mid-market universe we address and the depth of our networks in these markets
internationally. The outlook for 2025 remains uncertain, however your Company
remains well positioned to deliver further gains to Shareholders whilst laying
the foundations for future growth.
Richard Gray
Chairman
*see Alternative Performance Measures
Investment Manager's Review
Introduction
2024 has seen the private equity market stabilise after what has been the most
challenging period for the industry since the great financial crisis. During
the year interest rates and inflation finally reduced and economic growth in
many of our key markets stabilised. As a result, investment and exit activity
began to recover after two years of decline. According to Bain & Company
global buyout investment and exit value increased 37% and 34% respectively in
2024.
This increased activity can be seen in the increase in realisations received
by the Company during the year, which totalled £108.6 million, up 76% on the
prior year. Markets however remain uncertain and shifting, and a full recovery
is yet to take hold.
New Investments
Dealflow for new funds and co-investments remains very strong, with hundreds
of investment opportunities reviewed over the year. These come from both
long-term investment partners and others who are newer to our network.
The total invested in funds and co-investments in the year was £58.7 million,
down from £110.8 million in 2023. We remain highly selective in light of the
continued challenges in exit markets.
Five new fund commitments were made in the year. £10.0 million was committed
to August Equity VI, the latest in a series of commitments to this
accomplished lower mid-market UK buyout specialist.
£5.0 million was committed to Inflexion Enterprise Fund VI, the latest in a
series of Inflexion funds focusing on lower mid-market buyouts in the UK and
Northern Europe.
£6.0 million was committed to Corran Environmental Fund II, a UK lower
mid-market growth fund with a focus on clean energy and environmental
companies. The fund's cornerstone investment Vital Energi is the UK's leading
district heating and energy efficiency specialist which also owns and operates
an energy-from-waste plant at Drakelow, Derbyshire.
€5.0 million was committed to the Agilitas Human Investment Fund a
pan-European fund with an explicit investment objective of helping people that
are disadvantaged or in need. We have invested with Agilitas both through
funds and co-investments several times over the years.
€4.0 million has been committed to ARCHIMED MED Rise. ARCHIMED is a leading
France headquartered healthcare specialist with whom we have invested several
times. This fund targets buyouts of small healthcare businesses operating
within attractive niches globally.
There was one new co-investment plus several significant follow-on investments
primarily to fund add-on acquisitions.
A total of £4.0 million was invested in Accounts IQ, a B2B cloud-based
accounting software provider for mid-sized companies in the UK and Ireland.
The investment is led by Axiom I, the enterprise software focussed lower
mid-market fund, which drew £1.4 million for the investment, alongside which
we co-invested a further £2.6 million.
£4.2 million was invested in Breeze Group, the parent company of Contained
Air Solutions (the Manchester-based manufacturer of microbiological safety
cabinets) to fund complementary acquisitions. Amercare is a UK-based designer
and supplier of isolators for medical and pharmaceutical applications,
including cell therapy and radiopharmacy. BioSpherix is a US-based provider of
novel cleanroom grade containment solutions aimed at the cell therapy market.
Its products control the environmental conditions to optimise cell health and
reproducibility.
£2.2 million was invested in MedSpa, the Canada-based chain of aesthetics
clinics to finance three acquisitions. £1.6 million was invested in Texas
based digital payment solutions provider Aurora Payment Solutions. £1.0
million was invested in Utimaco, the German encryption and cybersecurity
solutions provider. £0.7 million of additional working capital was invested
in the US focussed Mexican restaurant chain Rosa Mexicano. £0.5 million was
invested in Polaris Software, the UK based provider of compliance software to
police and local authorities. £0.5 million was invested in GT Medical, the
developer of the brain cancer radiotherapy device GammaTile.
The funds in our portfolio have made several new investments which cover
various sectors and geographies. Below is a selection of the more material.
In the UK Corran Environmental II called £3.7 million for investment in
district heating and environmental efficiency specialist Vital Energi. SEP VI
invested £0.7 million in Braincube, the French industrial internet of things
software company which specialises in optimising manufacturing processes, and
£0.9 million in Cora, an Irish software company specialising in project
management software for the aerospace, defence, healthcare and life sciences
sectors. Kester Capital III called £1.2 million for an investment in The
Boundary, a creative agency providing computer generated imagery and marketing
materials to the global real estate industry and £0.5 million for GXP
Exchange, a leading provider of clinical/pharmacovigilance audit and related
consulting services to the pharmaceutical and biotech sectors. FPE III called
£0.8 million for an investment in Clearstate, a leading provider of market
data to the MedTech sector, which is a carve out from The Economist Group, and
£1.0 million for Vanda Research, a provider of specialist research and data
products for hedge funds and investment banks. Piper Private Equity VII
invested £0.7 million in Inside Travel Group, a leading Asia-focused
'cultural adventure' travel brand.
In Europe Corsair VI, the financial services specialists, called £1.1 million
for MJM, a leading independent commercial insurance broker in Poland. Also in
Poland, Avallon III called £0.6 million for MPPK, a pet food company. Vaaka
IV called £0.9 million to invest in Finnish IT infrastructure provider
Tietokeskus alongside a continuation vehicle. We had existing exposure to this
business through the commitment to Vaaka II. In Italy, Wisequity VI called
£1.1 million for Serbios a leading Italian bio-controls company (providing
biological alternatives to pesticides and agrochemicals). This is the first
acquisition within Greenexta, a newly established buy-and-build platform for
natural solutions for agriculture. Wisequity VI also called £0.6 million for
Case Della Piada, a leading Italian producer of flatbreads. Inflexion Buyout
Fund VI called £1.6 million for two European investments. DSS+ (£0.8
million) is a Swiss health and safety focussed management consultancy and
Nomentia (£0.7 million), a Finland-based cash and treasury management
software provider. Hg Saturn 3 called £0.5 million for GGW, a European
insurance brokerage platform for SMEs in Germany's Mittelstand. Corpfin V
invested £0.5 million in Groupo Versus, which provides training and education
for military police, national police and prison officers in Spain.
In North America Procuritas VII called £0.4 million for Precision Biologic, a
Canadian supplier of high-quality reagents used for haemostasis (blood
coagulation) diagnostics serving a mainly North American customer base of over
a thousand laboratories, hospitals, universities and research centres.
MidOcean VI invested £0.4 million in SI Solutions a US provider of
engineering, testing, compliance and maintenance services for power and
critical infrastructure markets. Corsair VI called a further £0.6 million for
a follow-on investment in HungerRush (restaurant point-of-sale software) as
part of a debt restructuring to increase flexibility on its financial
covenants and lower debt service costs. Graycliff IV invested £0.5 million in
Diamond Chemical, a manufacturer of cleaning and sanitation chemicals serving
hospitality, food service, commercial laundry, and other end markets.
Realisations
After a strong recovery in the second and third quarter realisations slowed in
the final quarter of the year. The total for the year was £108.6 million, up
76% on the £61.7 million achieved in 2023.
There were three co-investments realised in the year. In April Kester Capital
sold large format pet retailer Jollyes to TDR Capital returning £18.6 million
(4.2x cost and 27% IRR). The company doubled EBITDA and built its chain from
64 stores to 100 during the hold period.
In May Buckthorn Partners sold Aberdeen-based oil and gas wellbore plug and
abandonment specialist Coretrax to large, listed energy services group Expro
returning £13.9 million (1.7x cost and 11% IRR). A reasonable result given
the volatility in energy markets since the investment was made in 2018.
Finally in August Kester Capital sold ATEC to Perwyn. The combined proceeds
from both the co-investment, the proportion held in the GCP Europe II fund and
the proportion held through The Aurora Fund position was £18.5 million. ATEC
is a specialist insurance broker and general manager for niche areas such as
caravans, beach huts and boats. It has grown profits almost fourfold during
the holding period and significantly expanded its product offering.
There was also a steady flow of excellent exits from within our fund
investments. In the UK August Equity IV returned £3.5 million through the
sale of Agilio, the healthcare compliance software company, achieving an
exceptional return of 9.2x cost and an IRR of 72%. Apiary exited TAG, the
leading travel management company servicing the global live music and
entertainment industry, which was hard hit by the Covid pandemic, returning
£1.5 million (4.0x cost and 29% IRR). RJD Fund III exited veterinary
education company Improve International returning £1.4 million (3.3x cost and
49% IRR). Inflexion Enterprise Fund IV sold ATG, a global automative data and
software company, returning £0.9 million, an impressive 6.8x cost and 39% IRR
over the five-year hold and pet supplements company Lintbells realising £1.0
million (5.5x cost and an IRR of 34%). Inflexion Enterprise Fund V returned
£1.2 million from the sale of commercial insurance broker DR&P for an
excellent 11.2x cost and 77% IRR.
In the Netherlands Bencis V had an exceptional year, returning £6.6 million
from a series of excellent exits. It returned £1.9 million (7.2x cost and
49% IRR) from the sale of Vecos, a cloud-based locker management system
provider; £1.9 million (13.9x cost and 61% IRR) from the sale of Kooi, a
mobile security systems provider; £1.1 million (7.2x cost and 35% IRR) from
the sale of Tech Tribes, a digital transformation consultancy company; £0.9
million (4.7x cost and 36% IRR) from the sale of Ceban Pharmaceuticals, a
business which specialises in compounding drugs in different formats and owns
a major pharmacy chain Medsen; and £0.9 million (7.5x cost and 33% IRR) from
the sale of Olyslager, a supplier of lubricant data for companies in the oil
industry.
In the Nordics Summa II sold Olink to Thermo Fisher returning £3.6 million
(9.9x cost and an IRR of 67%). Olink has developed a technology for analysing
proteins which is used in human protein biomarker research. Meanwhile Summa I
returned £1.7 million (5.6x cost and 31% IRR) through the sale of Pagero, a
procure to pay software as a service company, to Thomson Reuters.
In France, Montefiore IV returned £3.1 million. £2.5 million was returned
from the sale of EDG (digital services for French companies) and Groupe
Premium (life and pension insurance broker) to a continuation vehicle and
£0.5 million (2.9x cost and 21% IRR) was returned from Cruiseline, the online
travel agent for cruises; this follows the successful resolution of a long
running legal case after Abénex Capital pulled out of the agreed purchase of
the business at the onset of the Covid pandemic. Chequers Capital XVII also
returned £1.5 million (3.6x cost) from the sale of Somacis, a designer and
manufacturer of high mix, low volume printed circuit boards.
Italian fund Nem Impresse made its final exit with the sale of business
processing and outsourcing company Kauri yielding £2.1 million. Also in
continental Europe, DBAG VIII returned £1.7 million (3.2x cost and 63% IRR)
from the sale of in-tech a provider of software development, testing and
validation.
In the US Graycliff continued its excellent run of exits returning £7.5
million in the year from fund III and IV. The sale of EMC, a switches and
transformers manufacturer, achieved another exceptional outcome and returned
£2.5 million (8.2x cost and an IRR of 146%); sweeteners manufacturer
Ingredients Plus returned £2.1 million (3.3x cost, 34% IRR); the sale of
Landmark Structures, elevated water towers, returned £1.9 million (7.8x cost
and 132% IRR); and Ballymore, the designer and manufacturer of safety material
handling equipment, returned £1.1 million (4.0x cost and 60% IRR).
Valuation Movements
Valuations were broadly flat in the first three quarters of the year, before
increasing in the final quarter. Over the full year the portfolio was up
£37.6 million (6.2%) before foreign exchange movements (-1.5%) and £28.4
million (4.7%) after FX.
The largest uplift was +£5.9 million for ATEC, the specialist insurer, which
Kester sold in August to private equity house Perwyn. This was followed by an
uplift of +£5.8 million in British lifestyle clothing and accessories
retailer Weird Fish, which continues to perform very strongly under new CEO
David Butler and recorded record profits in 2024. Inflexion Strategic Partners
is up £4.6 million, reflecting impressive growth in assets under management.
Other notable uplifts in the co-investment portfolio include encryption and
cybersecurity solutions provider Utimaco (+£2.9 million); Denmark-based care
company Habitus (+£2.4 million); social housing repairs and maintenance
provider CARDO Group (+£2.0 million).
Within the funds portfolio uplifts include Axiom I (+£1.7 million), Inflexion
Supplemental Fund V (+£1.7 million), Bencis V (+£1.5 million) due to the
previously mentioned strong realisations and FPE II (+£1.5 million) due to
several uplifts across the portfolio.
Write-downs were dominated by companies that have experienced a negative
long-term impact from the Covid pandemic. Some consumer businesses experienced
very rapid growth during the pandemic, which has since moderated due to
reduced consumer confidence, changing priorities, or because orders were
pulled forward by the pandemic and lockdowns. As previously reported Leader,
the electric bike company in Bulgaria, is operating in a challenging market
due to reduced consumer demand. The sector is expected to return to growth,
however only after a serious destocking phase which is affecting the whole
industry. The valuation is down by £2.4 million. Omlet, the premium pet
products brand, continues to experience difficult trading conditions and
weaker consumer demand and was down £2.0 million. Rosa Mexicano, the Mexican
restaurant chain, has experienced weaker trading and is down by £1.6 million.
In all cases management has been strengthened, turnaround plans are in place,
and we are seeing encouraging signs of recovery.
Meanwhile changes to working practices have impacted companies such as
Muraflex, which provides office renovations in North America, leading to a
£2.6 million write-down in Aliante 3 and Agilico, which provides printers and
scanners to offices, which is down £2.1 million.
Financing
During the year there was a net inflow of £49.9 million from the portfolio,
as realisations of £108.6 million exceeded investments of £58.7 million. At
the end of 2024 the net debt of the Company was £76.5 million which was
comfortably within the limits of the borrowing capacity and represented
gearing of 13.2%.
As previously reported, in April the Company bought back 1.25 million shares
at 460p which amounted to 1.7% of the issued share capital, excluding shares
held in treasury, at a cost of £5.8 million. The Company continues to
appraise the relative merits of using capital for share buy-backs versus new
investment whilst protecting and growing the dividend.
Outlook
2024 saw a good recovery in realisations, with the Company receiving £108.6
million in the year, an increase of 76% on 2023, representing significant
positive cashflow for the Company. This is only the third year in the
Company's history that annual realisations have exceeded £100 million (though
this is largely due to the strong growth of the Company). Realisations during
the year were 18% of opening portfolio value, a good uplift on the prior year,
but still below the 10-year average of 25%. Further growth in realisations and
liquidity are essential for the continued recovery of the private equity
market (and in particular fundraising) and are a strong focus for private
equity managers. As exits are typically at a significant premium to holding
value an uptick in realisations should also feed through into strong returns.
Most of the conditions required for a recovery in 2025 appear to be in place.
Interest rates and inflation have moderated and are expected to decrease
further in many markets, debt availability and pricing has improved, and there
is plenty of capital in private equity funds that managers are keen to invest.
The key to building the recovery's momentum is business and investor
confidence. This is threatened by persistent uncertainty: geopolitical
tensions are high, wars continue in the Middle East and Ukraine, new trade
wars threaten, and radical changes to US foreign policy require countries
across the globe to adapt. There are likely to be significant changes in 2025.
While this presents risk it also provides significant opportunities for those
able to adjust and to act with confidence.
As the most engaged and aligned of asset classes, private equity is uniquely
positioned to rapidly adapt to changing environments, with private equity
managers and company management able to work together to deliver
transformational change and deliver growth. The Company has consistently
demonstrated its ability to outperform in uncertain times and to deliver a
strong and growing dividend. We enter 2025, with a strong balance sheet and a
well-diversified portfolio of high growth and dynamic companies.
Hamish Mair
Investment Manager
CT Investment Business Limited
Portfolio Summary
Portfolio Distribution at 31 December 2024 % of Total % of Total
31 December 2024 31 December 2023
Buyout Funds - Pan European* 11.6 10.5
Buyout Funds - UK 19.2 16.2
Buyout Funds - Continental Europe† 15.5 18.2
Secondary Funds - 0.1
Private Equity Funds - USA 4.4 5.0
Private Equity Funds - Global 2.7 1.7
Venture Capital Funds 4.5 3.7
Direct Investments/Co-investments 42.1 44.6
100.0 100.0
* Europe including the UK.
† Europe excluding the UK.
Ten Largest Holdings Total Valuation £'000 % of Total Portfolio
As at 31 December 2024
Inflexion Strategic Partners 19,296 3.3
Sigma 16,031 2.7
Weird Fish 15,118 2.6
August Equity Partners V 12,096 2.1
TWMA 12,087 2.1
Utimaco 10,661 1.8
San Siro 10,460 1.8
Aurora Payment Solutions 9,996 1.7
Stirling Square Capital II 9,554 1.6
Inflexion Supplemental V 9,459 1.6
124,758 21.3
Portfolio Holdings
Investment Geographic Focus Total % of Total Portfolio
Valuation
£'000
Buyout Funds - Pan European
Stirling Square Capital II Europe 9,554 1.6
Apposite Healthcare III Europe 9,321 1.6
F&C European Capital Partners Europe 8,867 1.5
Apposite Healthcare II Europe 8,248 1.4
Summa III Northern Europe 3,269 0.6
MED II Western Europe 3,060 0.5
Agilitas 2015 Fund Northern Europe 3,037 0.5
Verdane XI Northern Europe 2,941 0.5
Wisequity VI Italy 2,910 0.5
Magnesium Capital 1 Europe 2,430 0.4
Astorg VI Western Europe 2,239 0.4
Volpi III Northern Europe 2,104 0.4
MED Platform II Global 2,068 0.3
KKA II Europe 1,573 0.3
ARCHIMED MED III Global 1,452 0.3
Agilitas 2020 Fund Europe 1,228 0.2
Verdane Edda III Northern Europe 1,059 0.2
TDR Capital II Western Europe 903 0.2
TDR II Annex Fund Western Europe 791 0.1
Inflexion Partnership III Europe 526 0.1
Agilitas 2024 HIF Europe 69 -
Total Buyout Funds - Pan European 67,649 11.6
Buyout Funds - UK
Inflexion Strategic Partners United Kingdom 19,296 3.3
August Equity Partners V United Kingdom 12,096 2.1
Inflexion Supplemental V United Kingdom 9,459 1.6
Inflexion Buyout Fund V United Kingdom 6,795 1.2
Apiary Capital Partners I United Kingdom 6,450 1.1
Inflexion Buyout Fund VI United Kingdom 5,217 0.9
FPE Fund III United Kingdom 5,006 0.9
Axiom 1 United Kingdom 4,983 0.8
FPE Fund II United Kingdom 4,866 0.8
August Equity Partners IV United Kingdom 4,497 0.8
Kester Capital II United Kingdom 4,468 0.8
Corran Environmental II United Kingdom 4,207 0.7
Inflexion Partnership Capital II United Kingdom 3,974 0.7
Piper Private Equity VI United Kingdom 3,884 0.7
Piper Private Equity VII United Kingdom 3,266 0.6
Kester Capital III United Kingdom 2,372 0.4
Inflexion Buyout Fund IV United Kingdom 2,225 0.4
Inflexion Enterprise Fund V United Kingdom 2,116 0.4
Inflexion Supplemental IV United Kingdom 1,449 0.2
Inflexion Enterprise Fund IV United Kingdom 1,444 0.2
Primary Capital IV United Kingdom 1,440 0.2
Inflexion Partnership Capital I United Kingdom 1,266 0.2
RJD Private Equity Fund III United Kingdom 467 0.1
Horizon Capital 2013 United Kingdom 377 0.1
GCP Europe II United Kingdom 201 -
Piper Private Equity V United Kingdom 163 -
August Equity Partners VI United Kingdom 111 -
Dunedin Buyout Fund II United Kingdom 5 -
Total Buyout Funds - UK 112,100 19.2
Investment Geographic Focus Total % of Total Portfolio
Valuation £'000
Buyout Funds - Continental Europe
Aliante Equity 3 Italy 8,366 1.4
Avallon MBO Fund III Poland 6,352 1.1
Vaaka III Finland 5,828 1.0
DBAG VII DACH 5,714 1.0
Bencis V Benelux 5,232 0.9
Capvis III CV DACH 4,654 0.8
Montefiore V France 4,252 0.7
Verdane Edda Nordic 4,224 0.7
DBAG VIII DACH 4,113 0.7
Corpfin V Spain 4,086 0.7
Procuritas VII Nordic 3,827 0.7
Procuritas VI Nordic 3,728 0.6
Chequers Capital XVII France 3,675 0.6
ARX CEE IV Eastern Europe 3,003 0.5
Procuritas Capital IV Nordic 2,564 0.4
Italian Portfolio Italy 2,487 0.4
Vaaka IV Finland 2,335 0.4
Montefiore IV France 2,042 0.4
Aurica IV Spain 1,936 0.3
Capvis IV DACH 1,794 0.3
Corpfin Capital Fund IV Spain 1,591 0.3
Summa II Nordic 1,417 0.3
Summa I Nordic 1,396 0.2
DBAG VIIB DACH 1,036 0.2
Portobello Fund III Spain 1,007 0.2
DBAG VIIIB DACH 946 0.2
DBAG Fund VI DACH 828 0.2
Chequers Capital XVI France 621 0.1
Vaaka II Finland 374 0.1
Ciclad 5 France 295 0.1
PineBridge New Europe II Eastern Europe 246 -
Gilde Buyout Fund III Benelux 88 -
Procuritas Capital V Nordic 71 -
Capvis III DACH 50 -
Montefiore Expansion France 47 -
DBAG Fund V DACH 5 -
Total Buyout Funds - Continental Europe 90,230 15.5
Investment Geographic Focus Total % of Total Portfolio
Valuation £'000
Private Equity Funds - USA
Blue Point Capital IV North America 7,475 1.3
Level 5 Fund II United States 3,296 0.6
Camden Partners IV United States 3,218 0.5
Purpose Brands (Level 5) United States 3,104 0.5
MidOcean VI United States 2,257 0.4
Blue Point Capital III North America 2,065 0.3
Stellex Capital Partners North America 1,729 0.3
Graycliff IV North America 1,601 0.3
Graycliff III United States 1,061 0.2
Blue Point Capital II North America 162 -
Total Private Equity Funds - USA 25,968 4.4
Private Equity Funds - Global
Corsair VI Global 8,424 1.4
Hg Saturn 3 Global 4,951 0.9
Hg Mercury 4 Global 897 0.2
PineBridge GEM II Global 654 0.1
F&C Climate Opportunity Partners Global 421 0.1
AIF Capital Asia III Asia 111 -
PineBridge Latin America II South America 59 -
Warburg Pincus IX Global 10 -
Total Private Equity Funds - Global 15,527 2.7
Venture Capital Funds
SEP V Global 9,383 1.6
MVM V Global 4,413 0.8
SEP VI Europe 3,140 0.5
MVM VI Global 2,950 0.5
Kurma Biofund II Europe 2,735 0.5
Northern Gritstone United Kingdom 1,697 0.3
SEP IV United Kingdom 1,190 0.2
Pentech Fund II United Kingdom 377 0.1
SEP II United Kingdom 260 -
SEP III United Kingdom 60 -
Environmental Technologies Fund Europe 57 -
Life Sciences Partners III Western Europe 31 -
Total Venture Capital Funds 26,293 4.5
Secondary Funds
The Aurora Fund Europe 205 -
Total Secondary Funds 205 -
Investment Geographic Focus Total % of Total Portfolio
Valuation £'000
Direct Investments/Co-investments
Sigma United States 16,031 2.7
Weird Fish United Kingdom 15,118 2.6
TWMA United Kingdom 12,087 2.1
Utimaco DACH 10,661 1.8
San Siro Italy 10,460 1.8
Aurora Payment Solutions United States 9,996 1.7
Amethyst Radiotherapy Europe 8,786 1.5
Breeze Group (CAS) United Kingdom 7,998 1.4
Cyclomedia Netherlands 7,828 1.3
Asbury Carbons North America 7,342 1.3
CARDO Group United Kingdom 6,955 1.2
Velos IoT (JT IoT) United Kingdom 6,853 1.2
Prollenium North America 6,608 1.1
Swanton United Kingdom 6,589 1.1
Habitus Denmark 6,395 1.1
Orbis United Kingdom 6,282 1.1
Family First United Kingdom 6,113 1.1
Cyberhawk United Kingdom 5,987 1.0
Rosa Mexicano United States 5,902 1.0
Polaris Software (StarTraq) United Kingdom 5,806 1.0
123Dentist Canada 4,878 0.8
Cybit (Perfect Image) United Kingdom 4,874 0.8
Braincube France 4,652 0.8
MedSpa Partners Canada 4,632 0.8
LeadVenture United States 4,510 0.8
AccuVein United States 4,273 0.7
Walkers Transport United Kingdom 4,172 0.7
1Med Switzerland 4,163 0.7
Dotmatics United Kingdom 4,155 0.7
PathFactory Canada 3,649 0.6
Collingwood Insurance Group United Kingdom 3,435 0.6
Vero Biotech United States 3,366 0.6
GT Medical United States 3,307 0.6
Educa Edtech Spain 3,035 0.5
AccountsIQ Ireland 2,477 0.4
Neurolens United States 2,336 0.4
Alessa (Tier1 CRM) Canada 2,083 0.4
Omlet United Kingdom 2,039 0.4
OneTouch United Kingdom 2,003 0.3
Agilico (DMC Canotec) United Kingdom 1,734 0.3
Bomaki Italy 1,469 0.3
Rephine United Kingdom 1,289 0.2
Avalon United Kingdom 1,234 0.2
Ambio Holdings United States 1,211 0.2
Leader96 Bulgaria 748 0.1
Jollyes United Kingdom 397 0.1
TDR Algeco/Scotsman Europe 207 -
Total Direct - Investments/Co-investments 246,125 42.1
Total Portfolio 584,097 100.0
CT Private Equity Trust PLC
Statement of Comprehensive Income for the
year ended 31 December 2024
(Unaudited)
Revenue Capital Total
£'000 £'000 £'000
Income
Gains on investments held at fair value - 25,144 25,144
Exchange gains - 5,055 5,055
Investment income 3,270 - 3,270
Other income 961 - 961
Total income 4,231 30,199 34,430
Expenditure
Investment management fee - basic fee (489) (4,404) (4,893)
Investment management fee - performance fee - - -
Other expenses (1,226) - (1,226)
Total expenditure (1,715) (4,404) (6,119)
Profit before finance costs and taxation 2,516 25,795 28,311
Finance costs (864) (7,778) (8,642)
Profit before taxation 1,652 18,017 19,669
Taxation - - -
Profit for year/total comprehensive income 1,652 18,017 19,669
Return per Ordinary Share 2.30p 25.08p 27.38p
CT Private Equity Trust PLC
Statement of Comprehensive Income for the
year ended 31 December 2023
(Audited)
Revenue Capital Total
£'000 £'000 £'000
Income
Gains on investments held at fair value - 25,226 25,226
Exchange gains - 863 863
Investment income 2,703 - 2,703
Other income 689 - 689
Total income 3,392 26,089 29,481
Expenditure
Investment management fee - basic fee (474) (4,263) (4,737)
Investment management fee - performance fee - (4,767) (4,767)
Other expenses (1,064) - (1,064)
Total expenditure (1,538) (9,030) (10,568)
Profit before finance costs and taxation 1,854 17,059 18,913
Finance costs (513) (4,616) (5,129)
Profit before taxation 1,341 12,443 13,784
Taxation - - -
Profit for year/total comprehensive income 1,341 12,443 13,784
Return per Ordinary Share 1.84p 17.08p 18.92p
CT Private Equity Trust PLC
Balance Sheet
As at 31 December 2024 As at 31 December 2023
(Unaudited)
(Audited)
£'000 £'000
Non-current assets
Investments at fair value through profit or loss 584,097 605,603
584,097 605,603
Current assets
Other receivables 1,110 841
Cash and cash equivalents 16,000 9,879
17,110 10,720
Current liabilities
Other payables (3,859) (8,121)
Interest-bearing bank loan (43,944) (97,109)
(47,803) (105,230)
Net current liabilities (30,693) (94,510)
Total assets less current liabilities 553,404 511,093
Non-current liabilities
Interest-bearing bank loan (48,575) -
Net assets 504,829 511,093
Equity
Called-up ordinary share capital 739 739
Share premium account 2,527 2,527
Special distributable capital reserve 3,818 9,597
Special distributable revenue reserve 31,403 31,403
Capital redemption reserve 1,335 1,335
Capital reserve 465,007 465,492
Shareholders' funds 504,829 511,093
Net asset value per Ordinary Share 706.03p 702.50p
CT Private Equity Trust PLC
Statement of Changes in Equity
Special Distributable Capital Reserve Special Distributable Revenue Reserve
Share Premium Account Capital Redemption Reserve
Share Capital Capital Reserve Revenue Reserve
Total
£'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000
For the year ended 31 December 2024 (unaudited)
Net assets at 1 January 2024 739 2,527 9,597 31,403 1,335 465,492 - 511,093
Buyback of ordinary shares - - (5,779) - - - - (5,779)
Profit for the year/total comprehensive income - - - - - 18,017 1,652 19,669
Dividends paid - - - - - (18,502) (1,652) (20,154)
Net assets at 31 December 2024 739 2,527 3,818 31,403 1,335 465,007 - 504,829
For the year ended 31 December 2023 (audited)
Net assets at 1 January 2023 739 2,527 10,026 31,403 1,335 471,645 - 517,675
Buyback of ordinary shares - - (429) - - - - (429)
Profit for the year/total comprehensive income - - - - - 12,443 1,341 13,784
Dividends paid - - - - - (18,596) (1,341) (19,937)
Net assets at 31 December 2023 739 2,527 9,597 31,403 1,335 465,492 - 511,093
CT Private Equity Trust PLC
Statement of Cash Flows
Year ended Year ended
31 December 2024 31 December 2023
(Unaudited) (Audited)
£000 £000
Operating activities
Profit before taxation 19,669 13,784
Adjustments for:
Gains on disposals of investments (58,769) (26,349)
Losses on account of fair value movement 33,625 1,123
Exchange differences (5,055) (863)
Interest Income (961) (689)
Interest received 937 668
Finance costs 8,642 5,129
Increase in other receivables (266) (8)
Decrease in other payables (4,082) (497)
Net cash outflow from operating activities (6,260) (7,702)
Investing activities
Purchases of investments (58,712) (110,784)
Sales of investments 105,362 58,964
Net cash inflow/(outflow) from investing activities 46,650 (51,820)
Financing activities
Drawdown of bank loans 2,182 59,023
Arrangement costs of loan facility (1,468) (27)
Interest paid (8,209) (3,995)
Equity dividends paid (20,154) (19,937)
Buyback of ordinary shares (5,779) (429)
Net cash (outflow)/inflow from financing activities (33,428) 34,635
Net increase/(decrease) in cash and cash equivalents 6,962 (24,887)
Currency (losses)/gains (841) 306
Net increase/(decrease) in cash and cash equivalents 6,121 (24,581)
Opening cash and cash equivalents 9,879 34,460
Closing cash and cash equivalents 16,000 9,879
Notes (unaudited)
1. The unaudited financial results, which were approved
by the Board on 27 March 2025, have been prepared in accordance with UK
adopted international accounting standards. Where presentation guidance set
out in the Statement of Recommended Practice "Financial Statements of
Investment Trust Companies and Venture Capital Trusts" ('SORP') issued by the
Association of Investment Companies is consistent with the requirements of
international accounting standards, the Directors have sought to prepare the
financial statements on a basis compliant with the recommendations of the
SORP. The Directors have assessed Going Concern and consider it the
appropriate basis for the figures presented in the announcement.
The accounting policies adopted are consistent with those of the previous
financial year.
Standards issued but not yet effective
There are no standards or amendments to standards not yet effective that are
relevant to the Company and should be disclosed.
2. Returns per Ordinary Share are based on the
following weighted average number of shares in issue during the year:
71,845,834 (2023: 72,838,637).
The net asset value per Ordinary Share is based on the following number of
shares in issue at the year-end: 71,502,938 (2023: 72,752,938).
During the year ended 31 December 2024, the Company issued nil Ordinary
Shares. During the previous year ended 31 December 2023, the Company issued
nil Ordinary Shares. During the year ended 31 December 2024, the Company
bought back 1,250,000 Ordinary Shares to be held in treasury. During the
previous year ended 31 December 2023, the Company bought back 92,000 Ordinary
Shares to be held in treasury.
3. The Board has proposed an interim dividend of 7.01
pence per Ordinary Share, payable on 30 April 2025 to those Shareholders on
the register on 11 April 2025 with an ex-dividend date of 10 April 2025.
4. This results announcement is based on the Company's
unaudited financial statements for the year ended 31 December 2024 which have
been prepared in accordance with UK adopted international accounting
standards.
5. This announcement is not the Company's statutory accounts.
The full audited accounts for the year ended 31 December 2023, which were
unqualified and had no emphasis of matters, have been lodged with the
Registrar of Companies. The statutory accounts for the year to 31 December
2024 (on which the audit report has not yet been signed) will be delivered to
the Registrar of Companies following the Company's Annual General Meeting
which will be held at Cannon Place, 78 Cannon Street, London, EC4N 6AG on 29
May 2025 at 13.00.
6. The Annual Report and Accounts for the year will be
sent to Shareholders and will be available for inspection at the Company's
registered office, Quartermile 4, 7a Nightingale Way, Edinburgh, EH3 9EG and
the Company's website www.ctprivateequitytrust.com
(http://www.ctprivateequitytrust.com) . The Company intends to issue a
subsequent annual financial report announcement.
For more information, please contact:
Hamish Mair (Investment Manager) 0131 573 8300
Scott McEllen (Company Secretary) 0131 573 8300
hamish.mair@columbiathreadneedle.com
(mailto:hamish.mair@columbiathreadneedle.com) /
scott.mcellen@columbiathreadneedle.com
(mailto:scott.mcellen@columbiathreadneedle.com)
Appendix: Alternative Performance Measures
The Company uses the following Alternative Performance Measures ('APMs'):
Discount (or premium) - If the share price of an Investment Trust is less than
its Net Asset Value per share, the shares are trading at a discount. If the
share price is greater than the Net Asset Value per share, the shares are
trading at a premium.
31 December 2024 31 December 2023
Net Asset Value per share (pence) (a) 706.03 702.50
Share price per share (pence) (b) 488.00 468.00
Discount (c=(b-a)/a) (c) 30.9% 33.4%
Dividend Yield - The dividends declared for the year divided by the share
price at the year end.
Gearing - This is the ratio of the borrowings less cash of the Company to its
total assets less current liabilities (excluding borrowings and cash).
Borrowings may include: preference shares; debentures; overdrafts and short
and long-term loans from banks; and derivative contracts. If the Company has
cash assets, these may be assumed either to net off against borrowings, giving
a "net" or "effective" gearing percentage, or to be used to buy investments,
giving a "gross" or "fully invested" gearing figure. Where cash assets
exceed borrowings, the Company is described as having "net cash".
31 December 2024 31 December 2023
£'000 £'000
Borrowings less cash (a) 76,519 87,230
Total assets less current liabilities (excluding borrowings and cash) (b) 581,348 598,323
Gearing (c=a/b) (c) 13.2% 14.6%
Ongoing Charges - All operating costs expected to be incurred in future and
that are payable by the Company expressed as a proportion of the average Net
Assets of the Company over the reporting year. The costs of buying and
selling investments are excluded, as are interest costs, taxation, performance
fees, non-recurring costs and the costs of buying back or issuing Ordinary
Shares. Ongoing charges of the Company's underlying investments are also
excluded.
Year to Year to
31 December 2024 31 December 2023
Ongoing charges (£'000) 6,119 5,801
Ongoing charges as a percentage of average assets: 1.2% 1.1%
Ongoing charges (including performance fees) (£'000) 6,119 10,568
Ongoing charges (including performance fees) as a percentage of average net
assets:
1.2% 2.1%
Average net assets (£'000) 499,457 508,718
Total Return - The return to Shareholders calculated on a per share basis by
adding dividends paid in the period to the increase or decrease in the Share
Price or NAV. The dividends are assumed to have been reinvested in the form of
Ordinary Shares or Net Assets.
Year to 31 December 2024 Year to 31 December 2023
NAV per share at start of year (pence) 702.50 710.65
NAV per share at end of year (pence) 706.03 702.50
Change in year +0.5% -1.1%
Impact of dividend reinvestments +4.1% +3.9%
Total NAV return for the year +4.6% +2.8%
Year to 31 December 2024 Year to 31 December 2023
Share price per share at start of year (pence) 468.00 423.00
Share price per share at end of year (pence) 488.00 468.00
Change in year +4.3% +10.6%
Impact of dividend reinvestments +6.6% +7.0%
Total share price return for the year +10.9% +17.6%
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