REG - Partners Grp Pvt Eqt Partners Grp E-PEYS - Annual results and webcast details

Partners Private EquityAnnouncement

21/03/2025 07:15

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RNS Number : 5785B  Partners Group Private Equity Ltd  21 March 2025

(LSE: PEYS/PEY)

 

Partners Group Private Equity Limited

 

Annual results and webcast details

 

2024 financial highlights

PGPE Ltd today publishes its annual results for 2024. The key financial
highlights are:

·     Net asset value ("NAV") closed the year at EUR 15.03 per share.
Including the dividend paid of EUR 0.71 per share, this represents a NAV
total return i  (#_edn1) of 11.4%.

·     Share price total return(i) was 10.0%. Discount to NAV was 29% at
year-end.

·     Value creation ii  (#_edn2) of 12.8% was the main driver of NAV
growth with the three largest contributors in the portfolio being Vishal Mega
Mart ("Vishal"), SRS Distribution ("SRS") and International Schools
Partnership.

·   5% of 2023 year-end NAV paid out as dividend in 2024 amounting to EUR
0.71 per share, resulting in an annualized dividend yield of 6.6% based on
the year-end share price of EUR 10.70.

·     PGPE Ltd received distributions of EUR 144 million, of which EUR
93 million came from the exits from portfolio companies SRS and Civica. With
IPO markets starting to open up, EUR 28 million was received from partial
divestments in Vishal and Galderma. The remaining balance of EUR 23 million
was received predominantly from other direct investments.

·    PGPE Ltd invested a total of EUR 31 million, including new
investments in ROSEN Group, Velvet Care and FairJourney Biologics. PGPE Ltd
also made several add-on investments in existing portfolio companies to
support operations and acquisition pipelines. In the first quarter of 2024,
the Company committed an additional EUR 20 million to the Partners Group
Direct Equity V fund, bringing the total commitment to the fund to EUR 50
million.

·    PGPE Ltd has a revolving credit facility of EUR 140 million in place
which is used for liquidity management purposes. Following the receipt of
distributions, the revolving credit facility was fully repaid as of 31
December 2024, and EUR 19 million in cash and cash equivalents further
strengthen the Company's liquidity position.

 

Peter McKellar, Chair of PGPE Ltd, said:

"2024 was a year of material progress at Partners Group Private Equity Ltd, as
we completed the previously announced changes at the Company and saw an
improvement in underlying portfolio and NAV performance. In the Interim Report
I confirmed that we had strengthened the Board and adopted a clear and robust
capital allocation policy. We also made significant progress in improving
engagement with shareholders, better market communication and positioning, and
we changed the name and branding of the Company.

We have entered a period of political uncertainty, much of it linked to news
flow out of the US. This may weigh on the economic outlook with downside risks
to growth, while further progress on the disinflationary front is expected to
prove more challenging. This brings into question the path for further
interest rate reductions. Notwithstanding, market commentators expect some
further pick up in the M&A market and in new deal and realization activity
across global private equity. That, coupled with the Investment Manager's
active approach to transaction sourcing and value creation, should result in a
flow of attractive investment opportunities and NAV accretion. As the Board
completes the five objectives that we articulated in late 2023 and early 2024,
our key focus will be on performance and narrowing the share price to NAV
discount.

I would like to thank shareholders for their continued support and to remind
existing and potential shareholders, as well as market participants, that I am
available to meet and I enjoy interacting and discussing the Company, its
peers and the broader private equity market."

 

Further highlights outlined in the report:

 

Capital allocation policy and dividend objective

The Company announced a capital allocation policy in March 2024 that was seen
as robust and leading within the sector. At the heart of the new policy was a
recognition of the importance of paying the current dividend objective of 5%
of the previous year-end NAV and the opportunity to enhance NAV returns by
buying back the Company's shares from surplus free cash flow at material share
price to NAV discounts. The Board was careful to define surplus free cash
flow. The Board has reaffirmed the existing capital allocation policy for the
forthcoming year. It is anticipated that as distributions from the Company's
investment portfolio continue, surplus free cash flow available for share buy
backs should materialize.

 

Changes to the Investment Management terms

The Board focused the review of the Investment Management terms in late
2024/early 2025 on three key principles, namely to ensure the commercial terms
were: (i) fair on an absolute and relative basis; (ii) simple to understand;
and (iii) aligned with shareholder outcomes.

As part of its detailed review, and in conjunction with its advisers, the
Board conducted a review of the commercial terms of the Investment Management
Agreement relative to peers, including listed and unlisted private equity
investment companies, and other Partners Group managed vehicles. Material
changes to the Investment Management terms were announced on 19 February 2025,
effective from 1 January 2025. The detailed announcement can be accessed here
(https://www.londonstockexchange.com/news-article/PEY/amendment-to-investment-management-agreement/16905033)
.

 

Board succession

Last year the Company strengthened the Board with the appointments of Axel
Holtrup and Gerhard Roggemann, both of whom have brought significant private
equity and listed company experience to the Board. As the Company looks
forward, it is important that it continues to have a strong, committed and
active Board. With that in mind, the Company has already commenced the search
for new directors to succeed, in time, the longer-serving members. An
announcement on the current phase of the succession plan will be made in due
course.

 

Amendment to Articles of Incorporation

From a documentary perspective, and in line with the ongoing revision and
updating of the Company's other key documents, the Board is proposing a number
of updates to the Company's Articles of Incorporation ("Articles") to reflect
current best practice. More details will be set out in the circular for the
Annual General Meeting and a resolution seeking approval of the new Articles
will be proposed.

 

 

PGPE Ltd 2024 results webcast details

PGPE Ltd will hold a webcast today, Friday 21 March 2025, at 10:00 GMT / 11:00
CET. During the webcast, Partners Group, the Investment Manager of the
Company, will give an update on the recent developments of the PGPE Ltd
portfolio based on audited figures as of 31 December 2024. To access the live
webcast, please use this link (https://edge.media-server.com/mmc/p/k2h5d4dc/)
.

 

The presentation and full annual report are available here:

https://www.partnersgroupprivateequitylimited.com/investors/reports-and-presentations

 

 

Ends.

 

About Partners Group Private Equity Limited

PGPE Ltd (formerly Princess Private Equity Holding Limited) is an investment
holding company founded in 1999 and domiciled in Guernsey. It invests in
private equity direct investments. PGPE Ltd is managed in its investment
activities by Partners Group, a global private markets investment management
firm with over USD 150 billion in investment programs under management in
private markets, of which USD 78 billion is in private equity. Partners Group
itself is listed at the Swiss Stock Exchange (ticker: PGHN).  PGPE Ltd aims
to provide shareholders with long-term capital growth and an attractive
dividend yield. PGPE Ltd is traded on the Main Market of the London Stock
Exchange (ticker: PEY for the Euro Quote; PEYS for the Sterling Quote).

 

Contacts

Partners Group Private Equity Limited:

pgpe-ltd@partnersgroup.com

www.partnersgroupprivateequitylimited.com

 

 Investor relations contact:                  Media relations contact:

 Andreea Mateescu                             Jenny Blinch

 Phone: +41 41 784 66 73                      Phone: +41 41 784 65 26

 E-mail: andreea.mateescu@partnersgroup.com   E-mail: jenny.blinch@partnersgroup.com

 

Registered Number: 35241   LEI: 54930038LU8RDPFFVJ57

Notes:

1.    Note that references in this announcement to Partners Group Private
Equity Limited have been abbreviated to "PGPE Ltd" or "Company". References to
Partners Group AG have been abbreviated to "Partners Group" or "Investment
Manager".

2.   This document does not constitute an offer to sell or a solicitation of
an offer to buy or subscribe for any securities and neither is it intended to
be an investment advertisement or sales instrument of Partners Group Private
Equity Limited. The distribution of this document may be restricted by law in
certain jurisdictions. Persons into whose possession this document comes must
inform themselves about and observe any such restrictions on the distribution
of this document. In particular, this document and the information contained
therein is not for distribution or publication, neither directly nor
indirectly, in or into the United States of America, Canada, Australia or
Japan.

3.   This document may have been prepared using financial information
contained in the books and records of the Company described herein as of the
reporting date. This information is believed to be accurate but not all
figures had  been audited by any third party. This document may describe past
performance, which may not be indicative of future results. No liability is
accepted for any actions taken on the basis of the information provided in
this document. Neither the contents of PGPE Ltd' website nor the contents of
any website accessible from hyperlinks on PGPE Ltd' website (or any other
website) is incorporated into, or forms part of, this announcement.

 i  (#_ednref1) For the purpose of total return calculation, dividends are
reinvested.

 ii  (#_ednref2) Value creation includes interest and dividend income received
by PGPE Ltd.

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