RCS - NB Private Equity - Edison issues update on NB Private Equity Partners

NB Private Equity PartnersAnnouncement

14/09/2022 07:15

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RNS Number : 3108Z  NB Private Equity Partners Limited  14 September 2022

London, UK, 14 September 2022

 

Edison issues update on NB Private Equity Partners (NBPE)

NB Private Equity Partners' (NBPE) latest NAV (as at end-July 2022) reflects
an update on most private valuations from end-March to end-June 2022, which
led to a very limited 2% fall in NBPE's private portfolio fair value. This
impressive resilience allowed NBPE to deliver a strong three- and five-year
NAV TR to end-July 2022 of 18.6% and 15.3%, respectively (c 2x the return of
MSCI World Index), led by co-investments. Despite its strong track record,
NBPE's shares still trade at a c 31% discount to NAV, wider than the average
for its direct peers (although it also has a single-layer fee structure but a
more diversified portfolio), which we find hard to justify. Its shares now
offer an attractive 5.0% annualised yield (versus an average of 2.5% for
peers).

 

NBPE's NAV already reflects valuations after the public market sell-off in
H122, with c 77% of the portfolio now based on end-June values received so far
from lead sponsors. The resulting 2% fair value reduction in private company
positions compares favourably with a c 20% fall in the MSCI World Index in TR
terms in Q222. We also note that NBPE expects its five full or partial exits
announced in 2022 ytd (c US$110m of expected proceeds) to be closed at a 7%
uplift to end-2021 carrying values, suggesting a prudent valuation approach.
Its ytd NAV TR decline of 7.3% (vs the MSCI World Index's 14.0%) was largely
driven by its listed holdings (14% of portfolio), primarily those floated in
2021 at an average valuation uplift of 125%, on whose partial exits NBPE has
already realised a multiple of invested capital of over 1.6x.

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All reports published by Edison are available to download free of charge from
its website

www.edisongroup.com (http://www.edisongroup.com)

About Edison: Edison is a leading research and investor relations consultancy,
connecting listed companies to the widest pool of global investors. By
focusing on the volume and quality of investors reached - across institutions,
family offices, wealth managers and retail investors - Edison can create and
gauge intent to purchase, even in the darkest pools of capital, and then make
introductions via non-deal roadshows, events or virtual meetings.

Having been the first in-market 17 years ago, Edison now has more than 100
analysts covering every economic sector. Headquartered in London, Edison also
has offices in New York, Frankfurt, Amsterdam and Tel Aviv and a presence in
Athens, Johannesburg and Sydney.

Edison is authorised and regulated by the Financial Conduct Authority
(https://register.fca.org.uk/ShPo_FirmDetailsPage?id=001b000000MfYL6AAN) .

Edison is not an adviser or broker-dealer and does not provide investment
advice. Edison's reports are not solicitations to buy or sell any securities.

For more information, please contact Edison:

Milosz Papst +44 (0) 20 3077 5700 investmenttrusts@edisongroup.com
(mailto:investmenttrusts@edisongroup.com)

Michal Mordel +44 (0) 20 3077 5700 investmenttrusts@edisongroup.com
(mailto:investmenttrusts@edisongroup.com)

Learn more at www.edisongroup.com (http://www.edisongroup.com) and connect
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