REG - Patria Pvt Eq Trust. - Half-year Report
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RNS Number : 4594O Patria Private Equity Trust PLC 26 June 2025
26 June 2025
Patria Private Equity Trust plc
Legal Entity Identifier (LEI): 2138004MK7VPTZ99EV13
HALF YEARLY REPORT FOR THE SIX MONTHS ENDED 31 MARCH 2025
Patria Private Equity Trust plc ('PPET') is an investment trust listed on the
London Stock Exchange.
PPET partners with 15 carefully selected private equity managers, investing
both in their funds and directly alongside them into private companies. This
provides PPET's investors with a diversified underlying portfolio of more than
600 private companies, mainly headquartered in Europe and focused on the
mid-market. This approach has resulted in consistent, long-term net asset
value ('NAV') growth, with an annualised NAV total return of 14.1% over the
last decade.
Patria Capital Partners LLP, a wholly owned subsidiary of Patria Investments
Limited, is PPET's alternative investment fund manager ('AIFM', the
'Investment Manager' or the 'Manager').
Investment Objective: PPET's investment objective is to achieve long-term
total returns through investing in and managing a diverse portfolio of private
equity investments, principally focused on the European mid-market.
KEY PERFORMANCE INDICATORS
Six months to Six months to
31 March 2025 31 March 2024
Share Price Total Return* 5.9% 22.9%
NAV Total Return* 2.6% 2.0%
As at As at
31 March 2025 30 September 2024
Gearing* 10.7% 11.8%
Over-commitment Ratio* 26.6% 28.5%
* Considered to be an alternative performance measure.
FINANCIAL HIGHLIGHTS
Six months to 31 March 2025 Twelve months to 30 September 2024 Six months to 31 March 2024
NAV Per Share* 791.8p 780.1p 784.9p
Portfolio Return (in local Currency) 1.9% 8.8% 4.4%
Total Dividend Per Share (Annualised)^ 17.6p 16.8p 16.8p
Share Price Discount to NAV* 29.5% 31.4% 30.8%
Net Assets £1,195.2m £1,192.1m £1,203.7m
Ongoing Charges Ratio (Annualised)* 1.07% 1.06% 1.06%
(*) Considered to be an Alternative Performance Measure.
(^) Forecast dividend per share for the financial year to 30 September 2025.
HIGHLIGHTS TO 31 MARCH 2025
· Performance - NAV total return ('NAV TR') for the six months to 31
March 2025 was 2.6%. The valuation of the underlying portfolio increased by
1.9% during the period in constant currency.
· Direct Investments -The direct investment portfolio has now
reached a portfolio of 33 underlying companies and 27.1% of portfolio NAV (30
September 2024: 32 underlying companies and 25.7% of portfolio NAV).
· Outstanding Commitments - Outstanding commitments at 31 March 2025
were £705.2 million (30 September 2024: £652.7 million). The over-commitment
ratio was 26.6% at 31 March 2025 (30 September 2024: 28.5%), lower than the
Manager's long-term target range of 30%-65%.
· New Investments - Four new primary fund commitments (£80.9
million), two new direct investments into private companies (£16.3 million),
one follow-on investment in an existing direct investment (£0.2 million) and
committed to one secondary investment (£38.8 million).
· Cashflows - Realisations of £108.0 million from investments
during the period (31 March 2024: £61.0 million). Drawdowns during the period
were £107.0 million (31 March 2024: £86.9 million).
· Balance Sheet & Liquidity - PPET has £385.3 million of
short-term resources at 31 March 2025 (30 September 2024: £317.7 million).
CHAIR'S STATEMENT
Introduction
I am delighted to present the Half- Yearly Report for Patria Private Equity
Trust plc ('PPET' or 'the Company'), for the six months to 31 March 2025. In
what has been an eventful period for financial markets, not least due to
tariff developments in the US, PPET has continued to grow, both in terms of
share price total return and NAV total return, driven by the revenue and
earnings growth of the underlying portfolio companies.
Share Price and NAV Performance
During the first six-month period, to 31 March 2025, PPET's share price total
return was 5.9% and the share price discount to NAV narrowed to 29.5% (30
September 2024: 31.4%). The discount ranged between 26.1% and 36.3% during the
period. Our share price total return outperformed the total return of 4.1%
from the FTSE All-Share Index, its comparator index. PPET's share price total
return has now outperformed the cumulative share price total return of the
FTSE All-Share Index over 1, 3, 5, 10 years, and since the inception of the
Company in 2001.
The Board allocated capital towards a share buyback programme in January 2024
using a portion of the £30 million of proceeds from the partial sale of
PPET's direct investment in Action. As at 31 March 2025, PPET had bought back
2,785,128 of its ordinary shares into treasury, equating to an aggregate
investment of £14.9 million and a NAV per share accretion of 0.5% to PPET
shareholders. The programme was instigated by the Board to take advantage of
PPET's share price discount and provide additional NAV accretion for PPET
shareholders. It has also had the added impact of contributing to the
short-term demand for PPET shares and consequently helped to support the share
price through a period of broader market pressure.
PPET's portfolio evidenced a resilient NAV performance during the first six
months of the financial year, with a NAV per share total return of 2.6% (2024:
2.4%) and closing net assets of £1,195.2m (£0 September 2024: £1,192.1
million). Private equity market activity remained subdued during the period,
and the uncertainty around US tariffs in the latter part of the period further
exacerbated the situation. In that context, PPET's performance is driven by
earnings growth in the existing underlying portfolio, which consists of
businesses that are often amongst the market leaders in resilient, less
cyclical sub-sectors and, importantly, the vast majority of which are growing,
profitable and cash generative.
For example, over the last 12 months, the top 100 portfolio companies by value
in PPET, which equate to 62.6% of NAV, experienced average revenue and EBITDA
earnings growth of 15.0% and 21.0% respectively at 31 March 2025.
US Tariff Impact
Following the widely publicised announcement of US tariffs on 2 April 2025,
and subsequent announcements, the Manager has undertaken an analysis of the
underlying portfolio to determine the potential impact. We expect there to be
limited direct impact on PPET's investments given the portfolio's exposure to
the Software, B2B Services and Healthcare sectors, and our focused investment
in the European mid-market. Within the portfolio, there are few global
goods-producing businesses which rely on exporting into the US.
This clearly remains a live and dynamic situation, and the potential second
order events are difficult to estimate as a result. Further detail on the
potential impact of tariffs, private equity market and the performance of
PPET's underlying portfolio of investments during the period can be found in
the Investment Manager's Review.
Commitments, Investments and Distributions
PPET continues to employ a consistent, long-term approach to new investment
activity, and capture exposure to the latest vintages of private equity
investments, whilst also adopting prudent balance sheet management, mindful of
the current market conditions.
During the six months to 31 March 2025, PPET made new commitments totalling
£136.2 million (31 March 2024: £108.2 million):
· Four new primary commitments: £80.9 million;
· Two commitments to new direct investments in private companies:
£16.3 million;
· A follow-on commitment into an existing direct investment: £0.2
million; and
· One further commitment to a secondary investment: £38.8 million.
PPET continues to overcommit to funds to ensure the most efficient use of its
resources, optimise returns and to get exposure to the best managers in the
mid-market. This is common practice for listed private equity trusts and we
have employed this approach since PPET's inception in 2001. Outstanding
commitments at 31 March 2025 amounted to £705.2 million (30 September 2024:
652.7 million) and are expected to be materially drawn over the next five
years. The value of outstanding commitments in excess of liquid resources as a
percentage of portfolio value (referred to as the 'over-commitment ratio') was
26.6% at 31 March 2025 (30 September 2024: 28.5%). This is lower than the
Manager's long-term target range of 30%-65%, principally due to the upsizing
of PPET's revolving credit facility from £300.0m to £400.0m during the
period and our £180.0m secondary sale in 2024.
Total drawdowns during the period were £107.0 million (31 March 2024: £86.6
million), consisting of £74.3 million of drawdowns from fund investments and
£32.8 million from direct investments. Realisations were £108.0 million from
investments (31 March 2024: £62.8 million), comprising of £81.3 million of
distributions and £26.7 million of secondary sales that were associated with
the £180.0 million portfolio sale in 2024. The realised return from the
distributions equated to 2.7 times cost (31 March 2024: 2.3 times) and were
conducted at an average uplift of 18.9% compared to the respective valuations
two quarters prior. Overall, portfolio cashflows were broadly neutral during
the period under review.
Liquidity and Bank Facility
The Board was delighted to announce that PPET had extended its syndicated
revolving multi-credit facility agreement ('Credit Facility') in January this
year. The Credit Facility has been extended by three years (maturing on 3
February 2028) with options to extend for up to two further years. The amount
available increased from £300.0 million to £400.0 million with Banco
Santander, S.A. and State Street Bank & Trust Company joining the
syndicate of banks as new lenders alongside current providers The Royal Bank
of Scotland International Limited (London Branch), Société Générale,
London Branch and State Street Bank International GMBH ('the Lenders'). The
addition of these two new lenders to our syndicate endorsed the strength in
the management and the quality of the portfolio.
This positive development has allowed PPET to further reinforce its balance
sheet position, with £382.5 million of short-term resources (cash & cash
equivalents, deferred consideration and undrawn Credit Facility) at 31 March
2025 (30 September 2024: £317.7 million).
During the negotiation of the Credit Facility, PPET committed to establishing
a new wholly owned subsidiary to allow PPET to grant security in favour of the
Lenders. PPET Investments Limited ('the SPV'), a wholly-owned subsidiary of
PPET, was established in Scotland on 5 March 2025. The shares of the SPV have
been pledged in favour of the Lenders as security for the Credit Facility and
future investments made by PPET will be held via the SPV. There is no
requirement for the existing portfolio to be transferred to the SPV, and it is
important to say that there are no changes to how the portfolio is managed.
Dividends
The Board remains committed to maintaining the value of the dividend in real
terms. The dividend is effectively a regular return of capital to shareholders
at NAV and the Board remains acutely aware that this is an important feature
of PPET for many of its shareholders. The Board was delighted to learn that
PPET is now included on the Association of Investment Companies ('AIC') List
of 'Next Generation of Dividend Heroes' having delivered more than ten years
of annual dividend increases.
PPET intends to pay a total dividend for the financial year to 30 September
2025 of 17.6 pence per share, representing an increase of 5% on the 16.8 pence
per share paid for the year to 30 September 2024. PPET has already paid one
interim dividend of 4.4 pence per share so far this year, and announced a
second interim dividend of 4.4 pence earlier this month, which will be paid to
shareholders on 25 July 2025. Subsequent dividend payments for this financial
year are planned for October 2025 and January 2026.
Corporate Changes
The Board was delighted that shareholders voted overwhelmingly in favour of
the amendments to PPET's investment objective and policy at the AGM in March
2025, which have now taken effect. The minor amendments make it clear that the
principal focus of PPET's investment strategy is the European mid-market, and
reflect the increasing prominence of direct investments in PPET's portfolio.
Our Manager has now taken residency of its new corporate office in Edinburgh
and last month, we changed PPET's registered office to New Clarendon House,
114-116 George Street, Edinburgh, EH2 4LH. Shareholders can write to the Board
and me at our registered office or via our dedicated email address: PPET.
Board@patria.com. It was great to see so many shareholders at our AGM in March
and we welcome all feedback and engagement. We have also established a Patria
Private Equity Trust PLC LinkedIn page, where investors and prospective
investors can keep up to date with the latest PPET news.
The Board and I continue to monitor developments with investment trust cost
disclosures and hope that common sense prevails. The AIC continues to lobby
hard on this topic and as draft regulation is produced, we expect the FCA to
develop meaningful disclosures for investors to allow them to compare
investment company costs with trading company costs. We believe that investors
should be given the right material at the right time in their investment
journey and are fully supportive of transparency. However, these disclosures
must be meaningful and comparable with other similar investments and not
provide misleading information to investors thus creating a false impression
that investment trusts are more expensive than they actually are.
Outlook
The private equity market has so far not recovered in 2025 as many, including
myself, anticipated towards the end of 2024. Suffice to say, it is hoped that,
when the broader uncertainty subsides, we will begin to see the return of
healthy levels of buying and selling activity. Currently, we are planning for
subdued market conditions to persist for the remainder of FY25. However, the
situation is live and ever-changing, and if the private equity market recovers
quicker than the Board and the Manager are expecting, then PPET will stand to
benefit.
Once there is greater certainty in the broader market, I can foresee
structural reasons why private equity activity will return in the short-term.
Bain & Co estimates that there is $1.2 trillion of 'dry powder' (capital
raised but not yet invested) in the buyout market and around 24% of that is
'aging' (held for four years or more). Most of that dry un-invested capital is
managed by the large and mega-cap private equity firms, and will need to be
deployed, which will help drive a market recovery. Notwithstanding a blip
during the peak of tariff uncertainty, credit conditions are generally
improving and interest rates are expected to fall modestly from current
levels, both of which are helpful for buyout activity and the convergence of
buyer and seller expectations. I also expect to see the continuation of the
long-term trend of companies staying private for longer.
PPET remains well positioned for an increase in private equity market
activity, having a portfolio of quality, profitable, mid-market companies,
with around half of the underlying portfolio companies having been held for
four years or more, and many of these, in theory, ready for exit. Greater
market activity levels have the potential to accelerate PPET's performance
through more portfolio exits, which in turn returns cash to PPET. Over the
long-term, exits have been struck at an average uplift of c. 20% compared with
the valuations two quarters prior, so they also provide a tailwind to NAV
growth. In the interim, I am confident that private equity managers will
continue to manage their fund investments with a strong financial and
operational discipline to sustain earnings and cashflow performance.
PPET's investment strategy has been consistent over the last two decades,
centred on partnering with a carefully selected group of leading private
equity managers, principally in the European mid-market. Our focus within the
mid-market will continue to evolve more towards the lower end, i.e. companies
with an enterprise value at entry of between €100 million and €500
million. We believe that there is an abundance of attractive private companies
in this segment, with clear value creation opportunities and less reliance on
leverage and IPOs to generate returns. I expect direct investments to continue
to increase as a proportion of the portfolio and further, I expect we will do
more in the
secondaries space, given the recent commitment to Patria Secondary
Opportunities Fund V.
The Board and I will remain committed and focused on ways to support the PPET
share price. We remain highly supportive of the Manager, and continue to
explore and encourage new ways to market the trust to capture new pools of
buyers. As such, we will continue to review the marketing strategy and budget,
and the effectiveness of current initiatives. Furthermore, we will continue to
monitor closely the evolution of the PPET share price and, in the event of
further sizeable distributions from the portfolio, will look to review the
allocation of fresh capital to the current buyback programme.
Alan Devine
Chair,
25 June 2025
INTERIM MANAGEMENT REPORT AND DIRECTORS' RESPONSIBILITY STATEMENT
PRINCIPAL RISKS & UNCERTAINITIES
The Board has an ongoing process for identifying, evaluating and managing the
principal risks, emerging risks and uncertainties of the Company.
The principal risks faced by the Company relate to its investment activities
and are set out in the Annual Report for the year ended 30 September 2024 (the
'2024 Annual Report').
They comprise the following risk categories:
· Valuation
· Currency
· Over-commitment
· Investment selection
· Climate
· Liquidity
· Credit
· Operational
The Board continues to closely monitor the political and economic
uncertainties which could affect the global economy and financial markets,
including the impact of the new US administration and potential trade war, the
ongoing interest rate risk in both Europe and the US, and global geopolitics
and the risk of ongoing conflict in the Middle East.
These factors are addressed in the risk categories set out above and further
details on how they are managed and mitigated are provided in the 2024 Annual
Report.
The Board will continue to assess these risks on an ongoing basis. In all
other respects, the Company's principal risks, emerging risks and
uncertainties have not changed materially since the date of the 2024 Annual
Report.
GOING CONCERN
In accordance with the Financial Reporting Council's Guidance on Risk
Management, Internal Control and Related Financial and Business Reporting, the
Directors have undertaken a rigorous review of the Company's ability to
continue as a going concern as a basis for preparing the financial statements.
The Board has taken into account; the remaining undrawn balance of the £400.0
million committed, syndicated revolving credit facility with a maturity date
of 3 February 2028 with options to extend for up to two further years; the
level of cash balances; the future cash flow projections (including the level
of expected realisation proceeds, the expected future profile of investment
commitments and the terms of the revolving credit facility); and the Company's
cash flows. The Directors are also mindful of the principal and emerging risks
and uncertainties, as disclosed.
Having reviewed these matters, the Directors believe that the Company has
adequate financial resources to continue its operational existence for the
foreseeable future and for at least 12 months from the date of this Half
Yearly Report. Accordingly, they continue to adopt the going concern basis in
preparing the Half Yearly Report.
RELATED PARTY TRANSACTIONS
There have been no material changes in the related party transactions reported
in the 2024 Annual Report. Details of the Company's parent undertaking,
related parties and transactions with the Manager are set out in Note 15 to
the Financial Statements.
DIRECTORS' RESPONSIBILITY STATEMENT
The Directors are responsible for preparing the Half Yearly Report, in
accordance with applicable laws and regulations. The Directors confirm that,
to the best of their knowledge:
• The condensed set of financial statements has been prepared in
accordance with Financial Reporting Standard 104 (Interim Financial Reporting)
and gives a true and fair view of the assets, liabilities, financial position
and profit or loss of the Company;
• The Interim Management Report, together with the Chair's Statement
and Investment Manager's Report, includes a fair review of the information
required by DTR 4.2.7R of the Disclosure Guidance and Transparency Rules,
being an indication of important events that have occurred during the first
six months of the financial year and their impact on the condensed set of
financial statements, and a description of the principal risks and
uncertainties for the remaining six months of the year; and
• The financial statements include a fair review of the information
required by DTR 4.2.8R of the Disclosure Guidance and Transparency Rules,
being related party transactions that have taken place in the first six months
of the financial year and that have materially affected the financial position
or performance of the Company during that period, and any changes in the
related party transactions described in the last Annual Report that could do
so.
The Half Yearly Financial Report was approved by the Board and the above
Directors' Responsibility Statement was signed on its behalf by the Chair.
For Patria Private Equity Trust plc
Alan Devine
Chair
25 June 2025
INVESTMENT STRATEGY
PPET's investment objective is to achieve long-term total returns through
investing in and managing a diverse portfolio of private equity investments,
principally focused on the European mid-market.
INVESTMENT POLICY
The Company seeks to achieve its investment objective by, principally: (i)
committing to private equity funds, both on a primary basis (at a fund's
inception) and a secondary basis (by acquiring fund positions from other
investors during a fund's life); and (ii) making direct investments (via
co-investments and single company secondaries) into private companies
alongside mid-market focused private equity managers.
The Company expects that the value of fund investments will represent around
65-80% of the total value of investments and that the value of direct
investments will represent 20-35% of the total value of investments. No single
fund investment or direct investment may exceed 15% of the Company's total
value of investments at the time of investment.
Investments made by the Company are typically with or alongside private equity
managers with whom the Manager has an established relationship and has
conducted full due diligence on. Whilst the significant majority of
investments will have a European focus, the Company's policy is to maintain a
diversified portfolio by country, industry sector, maturity and number of
underlying investments.
The Company may also hold quoted securities as a result of distributions in
specie from its portfolio of fund investments. The Company's policy is
normally to dispose of such assets as soon as practicable where they are held
on an unrestricted basis.
As an investor in private equity funds, the Company follows an over-commitment
strategy by making commitments which exceed its uninvested capital. This
allows the Company to maximise the proportion of invested assets, allowing
efficient use of the Company's resources.
In making such commitments, the Manager, together with the Board, will take
into account the uninvested capital, the value and timing of expected and
projected cash flows to and from the portfolio and, from time to time, may use
borrowings to meet drawdowns. The Board has agreed that the over-commitment
ratio should sit within the range of 30% to 65% over the long term.
The Company's maximum borrowing capacity, defined in its Articles of
Association, is an amount equal to the aggregate of the amount paid up on the
issued share capital of the Company and the amount standing to the credit of
the reserves of the Company. However, it is expected that borrowings would not
normally exceed 30% of the Company's net assets at the time of drawdown.
The Company's non-sterling currency exposure is principally to the euro and US
dollar. The Company does not seek to hedge this exposure into sterling,
although any borrowings in euros and other currencies in which the Company is
invested would have such a hedging effect.
Cash held pending investment may be invested in short-dated government bonds,
money-market instruments, bank deposits or other similar investments. Cash
held pending investment may also be invested in other listed investment
companies or trusts. The Company will not invest more than 15% of its total
assets in such listed equities.
The investment limits described above are all measured at the time of
investment.
PORTFOLIO CONSTRUCTION APPROACH
Investments made by PPET are typically with or alongside private equity firms
with whom the Manager has an established relationship of more than ten years.
As at 31 March 2025 PPET directly held 80 separate fund investments (30
September 2024: 77) comprising primary funds and fund secondaries, as well as
33 separate direct investments (30 September 2024: 32).
Through its portfolio of directly held investments, the Company indirectly has
exposure to a diverse range of underlying portfolio companies, as well as
additional underlying fund of fund and direct interests. At 31 March 2025,
PPET's underlying portfolio included exposure to 630 separate underlying
portfolio companies (30 September 2024: 616).
PPET predominantly invests in European mid-market companies. Around 76% (30
September 2024: 76%) of the total value of underlying portfolio company
exposure(1) is invested in European domiciled operating companies and the
Board expects this to remain the case over the longer term, with a weighting
towards North Western Europe. This has been PPET's geographic focus since its
inception in 2001 and where it has a strong, long-term track record. However,
PPET also selectively seeks exposure to North American midmarket companies, as
a means to access emerging growth or investment trends that cannot be fully
captured by investing in Europe alone.
PPET has a well-balanced portfolio in terms of non-cyclical and cyclical
exposure. Currently the largest single sector exposure, Information
Technology, represents 24% of the total value of underlying portfolio company
exposure1 (30 September 2024: 23%) and it is expected that no single sector
will be more than 30% of the portfolio over the longer term.
Environmental, Social and Governance ('ESG') is a strategic priority for the
Board and the Manager. PPET aims to be an active, long-term responsible
investor and ESG is a fundamental component of PPET's investment process.
Further detail on the Manager's approach to ESG can be found in the Annual
Report to 30 September 2024.
(1) Excludes underlying fund and co-investments indirectly held through the
Company portfolio.
INVESTMENT MANAGER'S REVIEW
Performance
Following a positive start to FY25, the private equity market began to slow
towards the end of the period, as market uncertainty began to take hold.
Developments around tariffs curtailed the momentum we began to see in private
equity M&A and exits in the latter part of 2024. Exits are a key driver
for any private equity portfolio, given that they return cash for reinvestment
but are typically conducted at an uplift to the valuation in the book and,
therefore, also provide a tailwind to NAV growth.
In that challenging context, PPET's portfolio continues to grow and drive
performance for shareholders. NAV Total Return ('NAV TR') for the six months
ended 31 March 2025 was 2.6% versus 4.1% for the FTSE All-Share Index. The
valuation of the portfolio at 31 March 2025 increased 1.9% over the period on
a constant currency basis, with an increase of 1.3% attributable to FX,
principally due to the depreciation of pound sterling compared to US dollar
and the Euro. The increase in value of the NAV on a per share basis was 11.7p.
This was principally made up of unrealised and realised gains and income from
the portfolio of 23.8p, partially offset by dividends and costs associated
with management fee, administrative and financing of 15.6p.
The unrealised gains in the period are attributable to the strong earnings
performance of the underlying portfolio. Looking at the top 100 underlying
portfolio companies, which are the main value drivers and equate to 62.6% of
the portfolio, the average revenue and EBITDA growth was 15.0% and 21.0%
respectively in the 12 months to 31 March 2025. Focusing on the same cohort of
top companies, the average valuation multiple was 13.8x EBITDA at 31 March
2025, compared with 13.5x EBITDA as at 30 September 2024.
Realised gains were derived from full or partial sales of underlying portfolio
companies during the six-month period, which were at an average uplift of
18.9% to the unrealised value two quarters prior (31 March 2024: 27.3%). The
headline realised return from the portfolio exits equated to 2.6 times cost
(31 March 2023: 2.3 times cost).
Top companies % of portfolio Median valuation multiple Media leverage multiple Average LTM Revenue growth Average LTM EBITDA growth
10 17.7% 15.7x 3.5x 15.0x 23.4x
30 35.4% 14.4x 3.7x 18.2x 22.0x
50 45.3% 13.8x 3.7x 15.7% 19.3%
100 62.6% 13.8x 3.8x 15.0% 21.0%
LTM = Last 12 months.
Performance (pence per share)
Pence per share
NAV as at 1 October 2024 780.1
Net realised gains and income from portfolio +37.4
Net unrealised losses at constant FX on portfolio (23.8)
Net unrealised FX gains on portfolio +10.3
Dividends paid (8.4)
Management fee, administration and finance costs (7.2)
Accretion arising from share buy-back scheme +3.0
Net income for other assets +0.4
NAV as at 31 March 2025 791.8
Tariffs
Following President Trump's announcement of the US tariffs on 2 April 2025,
and subsequent announcements, the Manager has undertaken an analysis of the
underlying portfolio to determine the potential impact. We expect there to be
limited direct impact on PPET's investments given exposure to the Software,
Services and Healthcare sectors, and our focused investment in the European
mid-market. Within our portfolio, there are few global goods-producing
business with reliance on exporting into the US within our portfolio. Of the
top 100 companies, our Manager expects that 91 companies will have no direct
impact from tariffs and, of the nine that do have a direct impact, only two
are estimated to be significantly impacted.
However, the second order events of increased tariffs have the potential to
have a much wider impact on the global economy and therefore the PPET
portfolio. The immediate impact of tariffs has been on private equity market
activity, which we had expected to pick up in 2025 but which slowed
materially. The uncertainty created by tariff discussions has caused several
sale processes in H1 2025 to be postponed. This impacts PPET through fewer
portfolio exits and less tailwind to NAV growth, given exits are typically
struck at an uplift to the unrealised value two quarters prior.
Cashflows
£107.0 million was drawn during the period (31 March 2024: £86.9 million),
primarily for investment into new and existing underlying portfolio companies.
£67.0 million of this figure related to primary fund and existing secondary
drawdowns (31 March 2024: £59.3 million), £7.2 million related to an
in-specie transfer (31 March 2024: £0.0 million), whilst the remaining £32.8
million related to direct investments and new fund secondaries (31 March 2024:
£27.7 million), which are fully under the control of the Manager. Direct
investment and fund secondaries are covered in detail later in the review.
Fund drawdowns have increased compared to prior year due to the higher level
of private equity M&A activity in the first quarter of FY25, prior to
tariff-related uncertainty taking hold. Drawdowns during the period were
mainly used to fund new investments, with notably large drawdowns relating to
the following underlying portfolio companies:
· Anaqua (Nordic XI) - Provider of innovation and intellectual
property (IP) management technology solutions and services
· Hargreaves Lansdown (Nordic XI) - UK's largest wealth management
platform for retail investors
· European Digital Group (Latour IV) - Leading European digital
transformation services business
· AltamarCAM (Permira Growth Opportunities II) - Leading European
private markets solutions provider
· Intuitive Health (Great Hill Partners Fund VIII) - US operator of
freestanding hybrid emergency department and urgent care centers.
Private equity funds usually have credit facilities to finance new investments
initially before drawing the capital from investors. We estimate that PPET had
around £99.6 million held on these underlying fund credit facilities at 31
March
2025 (30 September 2024: £111.2 million), and we expect that this will be
largely drawn over the next 12 months.
Drawdowns
Amount - £million
Nutripure Co-Invest SCSp (Direct Investment) 8.6
WR Riviera Co-Invest, LP (Direct Investment) 8.1
Nordic Capital Fund XI 7.4
Permira Growth Opportunities II 6.9
Latour Co-Invest Systra (Direct Investment) 6.8
Agora Continuation Fund (Direct Investment) 5.9
Advent Technology II-A 3.9
Hg Mercury 4 3.4
Nordic Capital Evolution Fund 3.4
Great Hill Equity Partners VII 3.0
In specie transaction 7.2
Other 42.4
Realisations
We define realisations as distributions from investments and secondary sales
made by the Manager. £108.0 million of realisations were generated during the
six months to 31 March 2025 (31 March 2024: £61.0 million). Breaking this
figure down, distributions from the portfolio amounted to £81.3 million (31
March 2024: £61.0 million) and secondary sales amounted to £26.7 million (31
March 2024: £0.0 million). The secondary sales made were the remaining
transfers relating to PPET's £180.0 million portfolio sale in 2024.
Distributions showed an increase over the same period in FY24, given the
stronger private equity activity, particularly in the first quarter of FY25.
The largest distributions during the period related to the following
underlying portfolio companies, with the relevant funds stated in brackets:
· Gritec (Capiton VI) - Manufacturer of turnkey substations used
across the electricity network in Germany
· R1 RCM (Towerbrook IV) - Revenue cycle management (RCM) company
servicing hospitals and healthcare providers in the US
· Sunbelt (MSouth Fund IV) - Manufacturer of commercial modular
buildings in the US
· Mademoiselle Desserts (Direct Investment) - B2B manufacturer of
frozen desserts in France and across Europe
· Regnology (Nordic Fund X) - International software provider of
regulatory, risk, and supervisory technology solutions.
Distributions & Secondary Sales
Amount - £million
Capiton VI 17.7
TowerBrook Investors IV (In specie) 7.2
Alphaone International S.à.r.l. 6.5
HgCapital 8 6.4
IK Fund VIII 6.0
MSouth Equity Partners IV 5.1
Nordic Capital X 3.9
Altor Fund IV 3.1
CVC VI 2.3
Structured Solutions IV Primary Holdings 2.2
Other 20.9
Secondary sales (various investments) 26.7
Commitments
PPET made new commitments totalling £136.2 million (31 March 2024: £108.2
million) during the six months to 31 March 2025. Specifically, PPET made four
new primary fund commitments (£80.9 million), two commitments to new direct
investments into private companies (£16.3 million), one follow-on commitment
in an existing direct investment (£0.2 million) and committed to one
secondary investment (£38.8 million).
Outstanding commitments at 31 March 2025 amounted to £705.2 million (30
September 2024: £652.7 million) and are expected to be drawn over the next
five years.
The value of outstanding commitments in excess of liquid resources as a
percentage of portfolio value (referred to as the 'over-commitment ratio') was
26.6% at 31 March 2025 (30 September 2024: 28.5%). This is slightly below our
long-term target range of 30%-65%, mainly due to the upsizing of the Credit
Facility and the £180m secondary sale made last year. We estimate that £87.2
million of the reported outstanding commitments are unlikely to be drawn down
(30 September 2024: £83.5 million), due to the nature of private equity
investing, with funds not always being fully drawn.
Outstanding Commitment Movement between 1 October 2024 and 31 March 2025
£million
Outstanding commitments as at 1 October 2024 652.7
New commitments +136.2
Fund investment Drawdowns excluding in specie transactions (67.0)
Direct Investment and secondary funding (32.8)
Foreign exchange impact +10.8
Secondary sales (3.8)
Recallable transactions +9.1
Outstanding commitments as at 31 March 2025 705.2
Balance Sheet and Liquidity
PPET remains in a good balance sheet position, with cash and cash equivalents
of £17.6 million (30 September 2024: £28.4 million) and £272.0 million
remaining undrawn of its £400.0 million revolving credit facility as at 31
March 2025 (30 September 2024: £159.4 million remaining undrawn of its
£300.0 million revolving credit facility). Adding this to £92.9 million of
contractual deferred consideration due on 30 September 2025 from its £180.0
million secondary sale in 2024 (30 September 2024: £130.0 million), means
that PPET has £382.5 million of short term resources in total (30 September
2024: £317.7 million).
Investment Activity
Primary Funds
£80.9 million was committed to four new primary funds during the first six
months of the year (31 March 2024: £63.9 million into three new primary
funds). As a reminder, PPET's primary fund strategy is to partner with a small
group of leading private equity firms, principally in the Europe, that have
genuine sector expertise and operational value creation capabilities with a
core mid-market buyout orientation, i.e. focusing on businesses with an
enterprise value between €100.0 million and €1.0 billion at entry.
Three of the four new primary fund commitments during the period are focused
on the lower end of the mid-market (i.e. private companies between €100
million-€500 million EV at entry), due to our strong conviction in the
attractiveness of this part of the market, particularly in an environment of
higher interest rate levels.
Investment £m Description
Impilo Fund II 24.9 Lower mid-market buyout fund targeting product focused companies in the
Pharma, MedTech, Specialist Pharma Services and Healthcare sectors, primarily
in the Nordic region.
Nordic Capital Evolution 22.8 Lower mid-market buy-out fund with a focus on companies across the Healthcare,
Fund II Financial Services, Tech & Payments and Services & Industrial Tech
sectors, primarily in Northern Europe.
IK Small Cap Fund IV 20.8 Pan-European lower mid-market fund focused on companies in Business Services,
Healthcare, Industrials, and Consumer.
IK Partnership Fund III 12.4 Pan-European mid-market fund focused on minority and co-control opportunities
in Business Services, Healthcare, Industrials, and Consumer.
Case study - Primary Funds - Impilo Fund II
Impilo Fund II is a lower mid-market buyout fund targeting product focused
companies in the Pharma, MedTech, Specialist Pharma Services and Healthcare
sectors, primarily in the Nordic region.
Investment: Impilo Fund II
Fund size: €700m
Geographic focus: Nordics
Target company size: Lower mid-market
Sector: Healthcare
Investment strategy: Buyout
PPET's commitment: €30 million
Commitment year: 2025
Overview
Impilo was established in 2017 by Fredrik Strömholm and partners. It is
headquartered in Stockholm, Sweden, with an additional office in Copenhagen,
Denmark.
Fredrik was previously one of the cofounders of Altor (a PPET core manager
relationship), establishing Impilo to focus exclusively on healthcare
investments in the Nordic market. The Firm is the only pure-play healthcare
sector specialist in the region.
Impilo seek controlling stakes in leading lower-mid-market businesses across
the pharmaceuticals, MedTech, specialist pharma services and other healthcare
& related services industries. Typically, these businesses have enterprise
values between €50 million and €200 million at entry.
PPET's Exposure
• PPET's commitment to Impilo II is its first with Impilo, as part
of the Trust's focus on high quality, lower mid-market managers.
• The Patria team has known Impilo's Managing Partner Fredrik
Strömholm since his days at Altor and has tracked Impilo since its formation
in 2017.
Direct investments
During the six-month period, PPET invested and committed £16.2 million to two
new direct investments and one follow-on investment in an existing direct
investment (31 March 2024: £34.4 million into four new direct investments and
three follow-on investments).
Investment £m Description
Agora Makers 8.9 A leading specialist in the design and manufacture of public street lighting
and street furniture based in France. Investment alongside Hivest Capital
Partners..
Soleo Health 7.3 US headquartered business that provides comprehensive infusion and specialty
pharmacy services covering a broad range of disease states, with a focus on
chronic and complex conditions. Investment alongside Windrose Health
Investors.
Boost.ai (follow-on investment) 5.2 A global leader in conversational AI for Fortune 1000 companies. Investment
alongside Nordic Capital.
As a reminder, direct investments were introduced to PPET's investment
objective in 2019 and bring several advantages, most notably greater control
over portfolio construction and lower associated costs (and therefore higher
return potential). Over the longer term the Manager expects direct investments
to equate to around 30-35% of the portfolio.
At 31 March 2025 there were 33 direct investments in PPET's portfolio,
equating to 27.1% of portfolio NAV (30 September 2024: 32 direct investments,
equating to 25.7% of portfolio NAV). The direct investment portfolio is
maturing, with an average investment age of three years at 31 March 2025, and,
as such, we have seen two significant exit events during the period.
Firstly, Mademoiselle Desserts, PPET's first direct investment back in 2019,
was sold in full to the Emmi Group in October 2024. Secondly, it was announced
in March 2025 that Abu Dhabi Investment Authority will buy a significant
minority stake in European Camping Group ('ECG') from PAI Partners and its
co-investors (including PPET). The transaction will result in the majority of
PPET's investment being realised in the second half of FY25, with around 15%
of its current holding rolled to capture further upside from ECG's next phase
of growth.
In addition, we believe that there are several direct investments that are
candidates for exit over the next 12-24 months, which will return material
cash back to PPET.
Fund Secondaries
PPET committed £38.8 million into a new secondary investment during the
period (31 March 2024: £8.8 million into one new secondary investment).
In March 2025, the Company increased its commitment to Patria SOF V SCSp ('SOF
V') by making a further commitment of $50 million to add to the initial
commitment of $25 million made in August 2024. As previously noted, the
Manager believes there are attractive opportunities available in the
secondaries market and this additional commitment will further increase PPET's
allocation in this segment of the market. As a reminder, in order to avoid the
Company being double-charged fees in a Patria-run investment vehicle, the
investment in SOF V will be excluded from the NAV when calculating the
investment management fee of PPET.
Investment £m Description
Patria SOF V SCSp 38.8 A fund that targets secondary transactions in the private equity lower-mid and
upper mid‑markets across Europe and North America.
Case Study - Direct Investment - Agora Makers
Agora Makers is a pan-European industry leader, specialising in the design and
manufacturing of public lighting and street furniture solutions.
Lead Manager: Hivest Capital Partners
Size at entry: Lower mid-market (<€500m EV)
Geographic focus: France
Target company size: Lower mid-market
Sector: Industrials
PPET's commitment: €10.0 million
Investment year: 2024
Company Overview
• Agora Makers is headquartered in France, with production sites
in France, Italy, South America and the Middle East.
• With over 180 years of Heritage, the company has emerged as a
European leader with market leading positions in public lighting in France and
street furniture in Italy.
• Agora Makers benefits from sustainability related tailwinds in
relation to the development of public spaces and sustainable and smart cities.
History and Background
• Hivest Capital Partners S.A.S ('Hivest Capital'), an independent
European private equity firm, originally invested in Agora Makers in 2022.
Under Hivest Capital's ownership and the leadership of David Lelièvre, the
Company has turned into a European leader, increasing EBITDA by 150% over the
period. This performance results from strong organic growth and selected
acquisitions expanding its product and brand portfolio with the addition of
street furniture capabilities & smart lighting solutions.
• Hivest Capital realised its investment in Agora Makers through the
sale of its majority shareholding to a newly created single-company
continuation fund. The transaction was co-led by Patria and Committed
Advisors.
• This transaction will allow Hivest Capital, as well as the Agora
Makers management team, to continue supporting the business over its next
cycle of growth, with the benefit of fresh capital to execute on an attractive
pipeline of organic and external growth opportunities. The group aims to
develop its international footprint in Western Europe, Eastern Europe and in
new geographies.
PPET's Exposure
• In December 2024, PPET made a direct investment into the
continuation fund for Agora Makers, as part of the transaction co-led by
Patria.
• Patria has a longstanding relationship with Hivest Capital through
funds and direct investments, albeit this will be the first investment that
PPET has invested alongside Hivest Capital.
Portfolio Construction
The underlying portfolio includes 630 separate private companies (30 September
2024: 616), largely within the European mid-market and spread across different
countries, sectors and vintages. At 31 March 2025, 15 (30 September 2024: 16)
companies equated to more than 1% of portfolio NAV based on underlying
portfolio company exposure, with the largest single exposure being PPET's
investment in Action, equating to 2.7% (30 September 2024: 2.4%).
Geographic Exposure(1)
The portfolio is well diversified, which means that there isn't a reliance on
one private equity manager, company, geographic region, sector or vintage to
drive performance. At 31 March 2025, 76% of underlying private companies were
headquartered in Europe (30 September 2024: 76%). PPET's underlying portfolio
remains largely oriented to Northwestern Europe, with only 9% of underlying
portfolio company exposure in Southern Europe and Central and Eastern Europe
(30 September 2024: 9%). PPET is well diversified by region across
Northwestern Europe, with the Nordics and the UK being the highest exposures
at 17% and 14% respectively (30 September 2024: 16% and 14%).
North America equates to 23% (30 September 2024: 23%) of the total, with
exposure to the region obtained through European private equity managers that
have expanded their operations into North America and US-headquartered lower
mid-market private equity managers that PPET partners with for specific sector
exposure (e.g. Great Hill Partners in Technology, American Industrial Partners
in Industrials, Windrose in Healthcare and Seidler in Consumer).
Geography of the Underlying Portfolio as at 31 March 2025
Exposure %
North America 23
Nordics 17
United Kingdom 14
France 14
Germany 11
Benelux 8
Other Europe 5
Spain 4
Italy 3
Other ex-Europe 1
1 Based on the latest available information from underlying managers. Figures
represent percentage of total value of underlying portfolio company
exposure. Excludes underlying fund and direct investments which are indirectly
held through the Company's portfolio.
Sector Exposure(1)
At 31 March 2025, Technology and Healthcare represented a combined 45% of the
underlying portfolio company exposure (30 September 2024: 44%). The majority
of PPET's portfolio is in less cyclical sectors like Tech, Healthcare,
Consumer Staples and B2B Services (which sits within the Industrials sector).
Whilst Industrials, Consumer Discretionary and Financials are reasonably large
proportions of the portfolio, often the portfolio companies within these
sectors have a valuable product or an essential service offering with a strong
digital component. Some examples within our top 20 underlying portfolio
companies by value include European Camping Group (Consumer Discretionary),
CFC Underwriting (Financials), Trioworld (Industrials) and Planet Payment
(Financials).
% Exposure as at
Sector 31 March 2025
Information Technology 24
Healthcare 21
Industrials 17
Consumer discretionary 13
Consumer staples 10
Financials 8
Materials 4
Energy 1
Utilities 1
Communication services 1
1 Based on the latest available information from underlying managers. Figures
represent percentage of total value of underlying portfolio company
exposure. Excludes underlying fund and direct investments which are indirectly
held through the Company's portfolio.
Maturity Analysis(1)
The Manager does not try to time the market with respect to PPET, instead
aiming for consistent exposure across recent vintage years. Therefore, there
is a relatively even split of portfolio companies at the underlying level that
are approaching maturity (held for four years or more) and companies typically
still in the value creation phase (held for less than 4 years). With 59% being
in vintages of four years or more (30 September 2024: 52%), this should
underpin exit activity and distributions once private equity market activity
increases again.
Holding Period %
1 year 12
2 years 11
3 years 18
4 years 23
5 years 11
>5 years 25
1 Based on the latest available information from underlying managers. Figures
represent percentage of total value of underlying portfolio company
exposure. Excludes underlying fund and direct investments which are indirectly
held through the Company's portfolio.
Outlook
We saw some notable PPET exits announced in the early part of the period,
including Mademoiselle Desserts, European Camping Group and GRITEC, and we had
expected momentum to continue into 2025. Now, on the back of the disruption
and uncertainty in the broader market, we are prudently planning for a slower
second half of FY25. However, this is by no means a certainty and there is the
potential that private equity market activity recovers faster than we expect.
Despite the backdrop, the PPET portfolio continues to be in good health. The
portfolio companies continue to grow earnings on average and leverage is at
reasonable levels. The portfolio remains well positioned for a pickup in
activity levels, given around half of companies have been held for 4 years or
more and there are several direct investments in that category now. Any market
uptick should result in an increase in distributions to PPET and a tailwind to
NAV growth, given PE assets tend to trade at an uplift to their last bottom-up
valuation.
On new investments, our focus will continue to be toward the lower end of the
mid-market (companies with EVs between €100 million and €500 million). The
primary fund selections during the six months to 31 March 2025 exemplify this,
with three of four new primaries being lower mid-market strategies. We
strongly believe that the lower mid-market provides the best risk-adjusted
returns in private equity, investing in smaller businesses that are profitable
and cash generative but where there are clear avenues for private equity
ownership to generate further growth and value creation.
As has been the case in recent years, we will continue to look to increase the
proportion of direct investments in the PPET portfolio, alongside our core
managers, which will reduce the underlying fees PPET pays and should provide a
further enhancement in performance. We are aiming to get the direct portfolio
to around 30-35% of portfolio NAV, across around 35-40 companies. The
secondary market remains highly relevant to our approach, both from a buying
and selling perspective. However, given we recently 'cleaned up' the tail of
PPET's portfolio in our £180 million non-core portfolio secondary sale, we
are more likely to be buyers in the current market, assuming we see
sufficiently attractive dealflow.
With hindsight we timed both our secondary sale and the extension of PPET's
Loan Facility to £400 million well. Both events were conducted before the
uncertainty of tariffs took hold. They will help give PPET both the ability to
manage a prolonged period of subdued market activity and provide ample
firepower to take advantage of the interesting new investment opportunities
that typically arise during periods of uncertainty and volatility.
Alan Gauld,
Lead Investment Manager
For Patria Capital Partners LLP
25 June 2025
INVESTMENT PORTFOLIO
at 31 March 2025
Vintage Investment Number of investments Outstanding commitments Cost Valuation Net multiple(2) % of NAV
£'000*
£'000
£'000(1)
2018 Nordic Capital Fund IX 12 10,563 23,786 36,204 1.7x 3.0
2021 Structured Solutions IV Primary Holdings* 57 11,559 30,644 34,014 2.8
1.3x
2019 3i 2020 Co-investment 1 SCSp(3) 1 - 6,374 33,086 5.9x 2.8
2014 Altor Fund IV 16 8,293 30,141 31,207 1.7x 2.6
2019 Altor Fund V 36 6,980 27,862 30,745 1.4x 2.6
2019 PAI Europe VII 19 4,669 22,903 29,757 1.5x 2.5
2019 Triton Fund V 20 6,249 17,992 29,011 1.5x 2.4
2019 American Industrial Partners VII 17 2,562 16,311 25,827 1.7x 2.2
2021 IK Partnership II 6 585 21,083 25,324 1.2x 2.1
2020 IK Fund IX 15 543 20,792 25,193 1.2x 2.1
2020 Vitruvian IV 27 1,655 19,673 24,829 1.3x 2.1
2015 Exponent Private Equity Partners III, LP. 7 2,888 19,359 24,456 1.9x 2.0
2020 Investindustrial VII 13 8,151 14,003 23,484 1.6x 2.0
2020 Nordic Capital X 16 6,456 18,422 22,363 1.3x 1.9
2021 Nordic Capital Evolution Fund 10 6,693 18,850 21,896 1.2x 1.8
2021 Capiton VI Wundex Co-Investment(3) 1 3,086 2,914 20,959 4.4x 1.8
2021 Advent Technology II-A 17 7,748 17,141 20,559 1.2x 1.7
2020 MPI-COI-NAMSA SLP(3) 1 599 6,776 19,775 2.6x 1.7
2017 CVC Capital Partners VII 28 2,148 12,233 19,256 1.4x 1.6
2014 CVC VI 19 1,142 13,665 18,932 2.1x 1.6
2021 Excellere Partners Fund IV 4 16,031 11,574 18,416 1.5x 1.5
2020 Triton Smaller Mid-Cap Fund II 9 9,350 11,789 17,571 1.4x 1.5
2022 Hg Saturn 3 7 12,302 15,247 17,531 1.1x 1.5
2022 Nordic Capital Fund XI 14 9,657 15,579 17,281 1.1x 1.4
2017 HgCapital 8 6 433 3,066 16,284 2.7x 1.4
2022 Advent International Global Private Equity X 22 12,070 13,458 15,570 1.2x 1.3
2019 Bridgepoint Europe VI 17 519 10,189 15,402 0.9x 1.3
2022 Uvesco Co-invest(3)* 1 2,134 6,316 15,381 2.2x 1.3
2019 MSouth Equity Partners IV 11 1,207 10,080 15,312 1.6x 1.3
2020 PAI Mid-Market I 10 9,418 11,793 15,095 1.3x 1.3
2021 Permira Growth Opportunities II 14 11,817 16,673 14,607 0.9x 1.2
2021 ECG Co-invest SLP(3)* 1 - 3 6,920 14,512 2.1x 1.2
2019 PAI Strategic Partnerships SCSp 2 54 6,722 14,369 2.1x 1.2
2020 Seidler Equity Partners VII L.P. 7 659 13,446 14,214 1.1x 1.2
2013 Nordic Capital VIII 16 2,433 17,986 13,822 1.5x 1.2
2022 Arbor Co-Investment LP(3) 1 - 8,374 13,723 1.6x 1.1
2016 IK Fund VIII 10 2,050 8,272 13,139 1.9x 1.1
2020 Hg Saturn 2 7 3,355 8,543 13,032 1.4x 1.1
2021 MI NGE S.L.P.(3) 1 808 8,153 12,707 1.6x 1.1
2020 Hg Genesis 9 12 3,882 7,938 12,609 1.4x 1.1
2021 CDL Coinvestment SPV(3) 1 - 3,835 12,078 2.6x 1.0
2021 WindRose Health Investors Fund VI 10 6,437 9,229 11,951 1.3x 1.0
2014 PAI Europe VI* 11 1,391 4,723 10,986 1.9x 0.9
2023 Maguar Continuation Fund I GmbH & Co. KG(3) 1 812 6,865 10,927 1.6x 0.9
2022 PAI Europe VIII 8 14,831 10,415 10,898 1.0x 0.9
2022 Altor Fund VI 11 16,933 8,282 10,342 1.2x 0.9
2021 Eurazeo Payment Luxembourg Fund SCSp(3)* 1 1,052 7,798 10,135 1.3x 0.8
2013 TowerBrook Investors IV 18 10,073 11,518 10,073 2.2x 0.8
2021 MPI-COI-PROLLENIUM SLP(3) 1 1,355 7,159 10,023 1.4x 0.8
2023 One Peak Co-invest III LP(3) 1 - 9,434 9,927 1.1x 0.8
2021 VIP SIV I LP(3) 1 3,143 5,857 9,644 1.6x 0.8
2023 IK IX Luxco 15 S.a.r.l.(3) 1 - 7,773 9,466 1.2x 0.8
2022 ArchiMed - Med Platform 2 5 15,146 10,007 9,408 0.9x 0.8
2020 Hg Vardos Co-invest L.P.(3) 1 - 4,244 9,326 2.1x 0.8
2021 IK Co-invest Questel(3)* 1 - 8,658 9,261 1.1x 0.8
2020 Vitruvian III 29 748 5,071 8,972 2.2x 0.8
2025 WR Riviera Co-Invest, LP(3) 1 - 16 8,071 8,526 1.1x 0.7
2024 Latour Co-Invest Systra(3)* 1 2,064 6,775 8,402 1.2x 0.7
2024 Nutripure Co-Invest SCSp(3)* 1 - 8,619 8,342 1.0x 0.7
2019 Vitruvian I CF LP 6 7,625 6,056 8,319 1.3x 0.7
2021 Hg Isaac Co-Invest LP(3) 1 39 7,571 8,017 1.1x 0.7
2019 Great Hill Partners VII 16 307 7,406 7,832 1.6x 0.7
2020 Capiton VI 9 5,413 9,765 7,771 2.2x 0.7
2023 Hg Mercury 4 7 18,322 6,833 7,633 1.1x 0.6
2020 Hg Mercury 3 10 4,203 4,676 7,533 1.5x 0.6
2021 Latour Co-invest Funecap(3)* 1 - 4,287 7,473 1.6x 0.6
2022 Hg Genesis 10 8 18,561 6,689 7,401 1.1x 0.6
2018 Investindustrial Growth 3 5,768 11,192 7,149 2.1x 0.6
2024 Agora Continuation Fund(3) 1 2,441 5,847 6,906 1.2x 0.6
2024 TI IV R1 CF Exit* 0 - 7,217 6,904 1.0x 0.6
2021 Great Hill Equity Partners VIII 8 8,101 7,616 6,456 0.8x 0.5
2023 Procemsa Build-Up SCSp(3) 1 2,330 4,913 5,984 1.2x 0.5
2024 MED BIO FPCI 2 2,687 6,152 5,891 1.0x 0.5
2023 Hg Vega Co-Invest L.P.(3) 1 - 4,801 5,836 1.2x 0.5
2023 Capiton Quantum GmbH & Co 2 706 3,857 5,819 1.5x 0.5
2022 Leviathan Holdings, L.P.(3) 1 4 4,863 5,770 1.2x 0.5
2021 Nordic Capital WH1 Beta, L.P.(3) 1 55 3,884 5,624 1.3x 0.5
2023 Seidler Equity Partners VIII, L.P. 5 9,015 6,563 5,614 0.9x 0.5
2017 Onex Partners IV LP 7 369 8,242 5,520 1.3x 0.5
2021 bd-capital Partners Chase(3) 1 - 4,300 5,410 1.3x 0.5
2024 Latour Co-Invest EDG(3)* 1 866 8,085 5,406 0.7x 0.5
2022 One Peak Growth III 8 6,877 5,783 5,344 0.9x 0.4
2024 Exponent Herriot Co-Investment Partners, LP(3) 1 813 3,444 4,867 1.4x 0.4
2022 Investindustrial Growth III 3 20,656 4,600 4,764 1.0x 0.4
2023 Latour Capital IV 5 18,603 6,604 4,189 0.6x 0.4
2021 ArchiMed III 7 7,548 5,144 3,991 0.8x 0.3
2021 GPMS Omega Holdco Limited(3)* 1 17 4,268 3,883 0.9x 0.3
2021 MPI-COI-SUAN SLP(3) 1 28 6,410 3,379 0.5x 0.3
2021 Bengal Co-Invest SCSp(3)* 1 1,792 6,809 3,351 0.5x 0.3
2023 Vitruvian V 8 21,251 3,853 3,330 0.9x 0.3
2023 Latour Co-invest Funecap II(3)* 1 - 2,952 3,129 1.1x 0.3
2015 Capiton V 7 128 7,355 3,014 0.8x 0.3
2023 ECG 2 Co-Invest S.L.P.(3)* 1 239 2,394 2,904 1.2x 0.2
2022 AV Invest B3(3)* 1 111 4,982 2,866 0.6x 0.2
2012 IK Fund VII 6 1,673 5,871 2,046 2.0x 0.2
2021 Hg Riley Co-Invest LP(3) 1 - 6,836 1,913 0.3x 0.2
2001 CVC III* 1 403 4,110 1,807 2.7x 0.2
2024 Investindustrial VIII 0 14,766 1,957 1,576 0.8x 0.1
2023 IK X Fund 0 23,693 1,405 1,135 0.8x 0.1
2023 Montefiore Investment VI 3 15,231 1,528 1,066 0.7x 0.1
2008 CVC V* 2 417 4,310 838 2.4x 0.1
2022 American Industrial Partners V 6 31 628 721 1.4x 0.1
2019 Gilde Buy-Out Fund IV 1 - 2,262 595 1.3x 0.0
2024 Altor ACT I (No. 1) AB 4 12,173 387 284 1.0x 0.0
2024 Patria SOF V SCSp* 7 58,106 - 212 0.0
n/a
2006 3i Eurofund V 0 - 9,282 169 2.7x 0.0
2023 Montefiore Expansion I 2 7,858 516 132 0.3x 0.0
2007 Industri Kapital 2007 Fund* 0 1,453 5,545 91 1.4x 0.0
2015 Nordic Capital CV1 Alpha, LP* 0 1,482 6,765 32 1.4x 0.0
2024 Bowmark Capital Partners VII, L.P. 3 24,514 486 - 0.0x 0.0
2024 Arbor Investments VI, L.P. 0 15,495 - - n/a 0.0
2024 IK Partnership Fund III 0 12,553 - - n/a 0.0
2024 IK Small Cap Fund IV 0 20,921 - - n/a 0.0
2025 Impilo Fund II 0 25,106 - - n/a 0.0
2024 Nordic Capital Evo II Beta, SCSp 0 23,013 - - n/a 0.0
2025 Triton Fund 6 SCSp 2 16,737 - - n/a 0.0
Total investments(4) 789 705,214 974,676 1,214,037 102.0
Non-portfolio assets less liabilities (18,795) (2.0)
Total shareholders' funds 1,195,242 100.0
1. All funds are valued by the manager of the relevant fund or direct
investment as at 31 March 2025, with the exception of those funds suffixed
with an * which were valued as at 31 December 2024 or initial funding amount
paid.
2. The net multiple has been calculated by the Manager in sterling on the
basis of the total realised and unrealised return for the interest held in
each fund and direct investments. These figures have not been reviewed or
approved by the relevant fund or its manager.
3. Direct investment position..
4. The 789 underlying investments represent indirectly held holdings in 630
separate underlying private companies, 55 underlying fund investments and 9
underlying direct investments through the Company's portfolio.
TEN LARGEST INVESTMENTS
at 31 March 2025
1 Nordic Capital Invests in medium to large-sized buyout deals in Northern Europe, through five
dedicated sector teams, with the ability to invest in healthcare on a global
basis.
Fund size: €4.3bn Nordic Capital Fund IX 31/03/25 30/09/24
Strategy: Mid to large buyouts
EV of investments: €200m-€800m
Geography: Northern Europe (Global in Healthcare)
Website: www.nordiccapital.com
Value (£'000) 36,204 35,275
Cost (£'000) 23,786 23,786
3.0% of NAV Commitment (€'000) 30,000 30,000
(30 September 2024: 3.0%)
Amount Funded 100.0% 100.0%
Income (£'000)* - -
2 Structured Solutions IV A diversified secondary transaction comprising large cap buyout funds in
Europe and the US.
Fund size: $125m Structured Solutions IV 31/03/25 30/09/24
Strategy: Various
EV of investments: $500m-$5bn Primary Holdings
Geography: Europe and North America
Value (£'000) 34,014 32,786
Cost (£'000) 30,644 29,749
2.8% of NAV (30 September 2024: 2,8%) Commitment (€'000) 62,500 62,500
Amount Funded 76.1% 72.6%
Income (£'000)* - -
3 Action Since its establishment in 1993, Benelux-based Action has grown into the
leading non-food discount retailer in the region with more than 2,900 stores
and close to 79,000 employees.
Fund Size: €2.5bn 3i 2020 Co-investment 31/03/25 30/09/24
Sector: Consumer staples
1 SCSp
Location: Netherlands
Year of Investment: 2020
Private Equity Manager: 3i Group plc
Investment: Co-investment
Company Website: www.action.nl
Value (£'000) 33,086 28,874
Cost (£'000) 6,374 6,374
2.8% of NAV (30 September 2024: 3.1%) Commitment (€'000) 7,939 7,939
Amount Funded 100.0% 100.0%
Income (£'000)* - -
4 Altor Focuses on investing in and developing medium-sized companies with a Nordic
origin that offer potential for value creation through revenue growth, margin
expansion, improved capital management and strategic re-positioning.
Fund Size: €2.1bn Altor Fund IV 31/03/25 30/09/24
Strategy: Mid-market buyouts
EV of investments: €50m-€500m
Geography: North America
Website: www.altor.com
Value (£'000) 31,207 34,368
Cost (£'000) 30,141 30,347
2.6% of NAV (30 September 2024: 2.9%) Commitment (€'000) 55,000 55,000
Amount Funded 82.0%% 81.2%
Income (£'000)* 51 297
5 Altor Focuses on investing in and developing medium-sized companies often with a
Nordic origin and sustainability angle, that offer potential for value
creation through revenue growth, margin expansion, improved capital management
and strategic re-positioning.
Fund Size: €2.6bn Altor Fund V 31/03/25 30/09/24
Strategy: Mid-market buyouts
EV of investments: €150m-€1bn
Geography: Northern Europe
Website: www.altor.com
Value (£'000) 30,745 28,157
Cost (£'000) 27,862 26,836
2.6% of NAV (30 September 2024: 2.4%) Commitment ($'000) 43,000 43,000
Amount Funded 71.8% 68.7%
Income (£'000)* 112 -
6 PAI Partners Targets upper mid-market businesses in Western Europe, with a particular focus
on continental Europe. Typically invests in market leaders across healthcare,
business services, food & consumer goods and industrials sector.
Fund Size: €5.1bn PAI Europe VII 31/03/25 30/09/24
Strategy: Upper Mid-market buyouts
EV of investments: €300m-€1.2bn
Geography: Western Europe
Website: www.paipartners.com
Value (£'000) 29,757 29,466
Cost (£'000) 22,903 22,724
2.5% of NAV (30 September 2024: 2.5%) Commitment (€'000) 30,000 30,000
Amount Funded 88.4% 87.7%
Income (£'000)* - -
7 Triton Targets mid-market companies that are operating below their full potential in
the industrials, business services and healthcare sectors in Northern and
Western Europe.
Fund Size: €5.3bn Triton Fund V 31/03/25 30/09/24
Strategy: Mid-market buyouts
EV of investments: €150m-€750m
Geography: Northern and Western Europe
Website: www.triton-partners.com
Value (£'000) 29,011 26,636
Cost (£'000) 17,992 16,766
2.4% of NAV (30 September 2024: 2.2%) Commitment (€'000) 30,000 30,000
Amount Funded 100.0% 94.1%
Income (£'000)* - -
8 American Industrial Partners Invests in North American-headquartered industrial companies, using the firm's
deep operational and engineering capabilities to transform acquired companies.
Fund Size: $3.1bn American Industrial 31/03/25 30/09/25
Strategy: Industrials buyout
EV of investments: $100m-$2bn Partners VII
Geography: North America
Website: www.americanindustrial.com
Value (£'000) 25,827 23,010
Cost (£'000) 16,311 15,335
2.2% of NAV (30 September 2024: 1.9%) Commitment ($'000) 20,000 20,000
Amount Funded 100.0% 100.0%
Income (£'000)* 818 1,133
9 IK Partners Minority/co-control positions in mid-market businesses in Northern Continental
Europe across business services, consumer/food, healthcare and industrials.
Fund Size: €336m IK Partnership II 31/03/25 30/09/24
Strategy: Mid-market buyout
EV of investments: €200m-€500m
Geography: Northern Europe
Website: www.ikpartners.com
Value (£'000) 25,324 24,595
Cost (£'000) 21,083 21,083
2.1% of NAV (30 September 2024: 2.1%) Commitment (€'000) 25,000 25,000
Amount Funded 97.2% 97.2%
Income (£'000)* - -
10 IK Partners Focused primarily on mid-market businesses in Northern Continental Europe
across business services, consumer/food, healthcare and industrials.
Fund Size: €2.9bn IK IX Fund 31/03/25 30/09/24
Strategy: Mid-market buyouts
EV of investments: €200m-€500m
Geography: Northern Europe
Website: www.ikpartners.com
Value (£'000) 25,193 24,327
Cost (£'000) 20,792 20,769
2.1% of NAV (30 September 2024: 2.0%) Commitment ($'000) 25,000 25,000
Amount Funded 97.4% 96.8%
Income (£'000)* - -
Notes:
Performance information has been prepared by PPET and has not been approved by
the General Partners of the funds or any of their Associates
*Income figures are for the six months to 31 March 2025 and 30 September 2024
respectively.
The Company's position in Action is held through 3i 2020 Co-investment 1 SCSp,
a special purpose vehicle managed by 3i as co-investment lead.
Amount funded has been calculated based on original commitment.
CONDENSED STATEMENT OF COMPREHENSIVE INCOME (UNAUDITED)
For the six months ended 31 March 2025
For the six months ended 31 March 2025 For the six months ended 31 March 2024
Notes Revenue Capital Total Revenue Capital Total
£'000 £'000 £'000 £'000 £'000 £'000
Total capital gains on investments - 32,697 32,697 - 27,134 27,134
Currency gains - 395 395 - 1,241 1,241
Income 4 4,227 - 4,227 5,001 - 5,001
Investment management fee 5 (276) (5,242) (5,518) (286) (5,424) (5,710)
Administrative expenses (915) - (915) (641) - (641)
Profit before finance costs and taxation 3,086 27,850 30,936 4,074 22,951 27,025
Finance costs (251) (4,312) (4,563) (218) (3,800) (4,018)
Profit before taxation 2,835 23,538 26,373 3,856 19,151 23,007
Taxation (416) - (416) (707) 31 (676)
Profit after taxation 2,149 23,538 25,957 3,149 19,182 22,331
Earnings per share - basic and diluted 7 1.59p 15.51p 17.10p 2.05p 12.51p 14.56p
The Total columns of this statement represents the profit and loss account of
the Company.
There are no items of other comprehensive income, therefore this statement is
the single statement of comprehensive income of the Company.
All revenue and capital items in the above statement are derived from
continuing operations.
No operations were acquired or discontinued in the period.
CONDENSED STATEMENT OF FINANCIAL POSITION (UNAUDITED)
As at 31 March 2025
As at As at
31 March 2025 30 September 2024
Notes £'000 £'000 £'000 £'000
Non-current assets
Investments 8 1,214,037 1,177,106
Investment in Subsidiaries 14 - -
1,214,037 1,177,106
Current assets
Receivables 10 93,569 130,147
Cash and cash equivalents 17,588 28,358
Total current assets 111,157 158,505
Creditors: amounts falling due within one year
Payables (4,063) (3,704)
Revolving credit facility 11 (125,889) (139,803)
Net current liabilities (18,795) 14,998
Total assets less current liabilities 1,195,242 1,192,104
Capital and reserves
Called-up share capital 307 307
Share premium account 86,485 86,485
Investment in Subsidiaries 14
Special reserve 51,503 51,503
Capital redemption reserve 94 94
Capital reserves 1,056,853 1,053,715
Revenue reserve - -
Total shareholders' funds 1,195,242 1,192,104
Net asset value per equity share 9 791.8p 780.1p
The Financial Statements of Patria Private Equity Opportunities Trust plc,
registered number SC216638 were approved and authorised for issue by the Board
of Directors on 25 June 2025 and were signed on its behalf by Alan Devine,
Chair.
CONDENSED STATEMENT OF CHANGES IN EQUITY (UNAUDITED)
For the six months ended 31 March 2025
Called-up
Share Capital
share premium Special redemption Capital Revenue
capital account reserve reserve reserves reserve Total
Notes £'000 £'000 £'000 £'000 £'000 £'000 £'000
Balance at 1 October 2024 307 86,485 51,503 94 1,053,715 - 1,192,104
Profit after taxation - - - - 23,538 2,419 25,957
Dividends paid 6 - - - - (10,382) (2,419) (12,801)
Repurchase of shares into treasury - - - - (10,018) - (10,018)
Balance at 31 March 2025 307 86,485 51,503 94 1,056,853 - 1,195,242
For the six months ended 31 March 2024
Called-up
Share Capital
share premium Special redemption Capital Revenue
capital account reserve reserve reserves reserve Total
Notes £'000 £'000 £'000 £'000 £'000 £'000 £'000
Balance at 1 October 2023 307 86,485 51,503 94 1,057,254 - 1,195,643
Profit after taxation - - - - 19,182 3,149 22,331
Dividends paid 6 - - - - (9,150) (3,149) (12,299)
Repurchase of shares into treasury - - - - (1,964) - (1,964)
Balance at 31 March 2024 307 86,485 51,503 94 1,065,322 - 1,203,711
CONDENSED STATEMENT OF CASH FLOWS (UNAUDITED)
For the six months For the six months
ended 31 March 2025 ended 31 March 2024
Notes £'000 £'000 £'000 £'000
Cashflows from operating activities
Profit before taxation 26,373 23,007
Adjusted for:
Finance costs 4,563 4,018
Gains on disposal of investments 8 (53,870) (30,876)
Revaluation of investments 20,708 3,653
Currency gains (395) (932)
(Increase) / decrease in non-investment related debtors (3) 234
(Decrease) / increase in creditors (627) 2,412
Tax deducted from non-UK income (416) (676)
Net cash inflow from operating activities (3,667) 840
Investing activities
Purchase of investments 8 (107,137) (86,940)
Distributions of capital proceeds received by investments 8 77,096 57,095
Receipt of proceeds from disposal of investments 63,546 30,040
Net cash inflow from investing activities 33,505 195
Financing activities
Revolving credit facility - amounts drawn 45,225 53,215
Revolving credit facility - amounts repaid (58,114) (17,729)
Interest paid and arrangement fees (4,895) (4,000)
Ordinary dividends paid 6 (12,801) (12,299)
Repurchase of shares into treasury 9 (10,018) - (1,964) -
Net cash (outflow) / inflow from financing activities (40,603) 17,223
Net (decrease) / increase in cash and cash equivalents (10,765) 18,258
Cash and cash equivalents at the beginning of the period 28,358 9,436
Currency losses on cash and cash equivalents (5) (250)
Cash and cash equivalents at the end of the period 17,588 27,444
Cash and cash equivalents consist of:
Cash 17,588 27,444
Cash and cash equivalents 17,588 27,444
Included in profit before taxation is dividends received from investments of
£2,883,000 (2024: £3,733,000), interest received from investments of
£1,229,000 (2024: £918,000) and interest received from cash balances of
£165,000 (2024: £349,000).
Included in interest and commitment fees paid is interest paid of £3,254,000
(2024: £2,930,000) and commitment fees paid of £941,000 (2024: £739,000).
NOTES TO THE FINANCIAL STATEMENTS
1 Financial Information
The financial information for the year ended 30 September 2024 within the
report is considered non-statutory as defined in sections 434-436 of the
Companies Act 2006. The financial information for the six months ended 31
March 2025 and 31 March 2024 has not been audited. The financial information
for the year ended 30 September 2024 has been extracted from the published
accounts that have been delivered to the Registrar of Companies and on which
the report of the auditor was unqualified under section 498 of the Companies
Act 2006.
2. Basis of preparation and going concern
The condensed financial statements for the six months ended 31 March 2025 have
been prepared in accordance with Financial Reporting Standard 104 (Interim
Financial Reporting) and with the Statement of Recommended Practice for
'Financial Statements of Investment Trust Companies and Venture Capital
Trusts'.
The condensed financial statements for the six months ended 31 March 2025 have
been prepared using the same accounting policies as the preceding annual
financial statements. This is available at www.patriaprivateequitytrust.com
(http://www.patriaprivateequitytrust.com) or on request from the Company
Secretary.
The Board have made an assessment of the Company's ability to continue as a
going concern and are satisfied that the Company has the resources to continue
in business for a period of at least 12 months from the date of these
condensed financial statements. In preparing these condensed financial
statements, the Board have considered:
· the remaining undrawn balance of the £400.0 million committed,
syndicated revolving credit facility with a maturity date of 3 February 2028,
with options to extend for up to two further years;
· the level of cash balances. The Manager regularly monitors the
Company's cash position to ensure sufficient cash is held to meet liabilities
as they fall due;
· the future cash flow projections (including the level of expected
realisation proceeds, the expected future profile of investment commitments
and the terms of the revolving credit facility); and
· the Company's cash flows during the period.
Based on a review of the above, the Directors are satisfied that the Company
has, and will maintain, sufficient resources to continue to meet its
liabilities as they fall due for at least 12 months from the date of approval
of the condensed financial statements. Accordingly, the condensed financial
statements have been prepared on a going concern basis.
3. Exchange rates
Rates of exchange to sterling were:
As at 31 March 2025 As at 30 September 2024
Euro 1.1950 1.2019
US Dollar 1.2908 1.3414
Canadian Dollar 1.8578 1.8121
Six months ended Six months ended
31 March 2025 31 March 2024
4. Income £'000 £'000
Income from investments 2,883 3,734
Interest from investments 1,229 918
Interest from cash balances 165 349
Total income 4,277 5,001
Six months ended 31 March 2025 Six months ended 31 March 2024
Revenue Capital Total Revenue Capital Total
5 Investment management fees £'000 £'000 £'000 £'000 £'000 £'000
Investment management fee 276 5,242 5,518 286 5,424 5,710
The Manager of the Company is Patria Capital Partners LLP. In order to comply
with the Alternative Investment Fund Managers Directive, the Company appointed
Patria Capital Partners LLP as its Alternative Investment Fund Manager from 1
July 2014.
The investment management fee payable to the Manager is 0.95% per annum of the
NAV of the Company. The investment management fee is allocated 95% to the
realised capital reserve - gains/(losses) on disposal and 5% to the revenue
account. The management agreement between the Company and the Manager is
terminable by either party on 12 months written notice.
Investment management fees due to the Manager as at 31 March 2025 amounted to
£1,918,000 (30 September 2024: £2,627,000).
6 Dividend on ordinary shares
For the financial period ending 31 March 2025, the first interim dividend of
4.40p per ordinary share was paid on 25 April 2025 (2024: dividend of 4.20p
was paid on 26 April 2024). A second interim dividend of 4.40p per share is
due to be paid on 25 July 2025 (2024: dividend of 4.20p was paid on 26 July
2024).
In respect of the year ended 30 September 2024, the third interim dividend of
4.20p per ordinary share was paid on 25 October 2024 (2023: dividend of 4.00p
per ordinary share paid on 27 October 2023). The fourth interim dividend of
4.20p per ordinary share was then paid on 24 January 2025 (2023: dividend of
4.00p per ordinary share paid on 26 January 2024).
Six months ended Six months ended
31 March 2025 31 March 2024
7 Earnings per share - basic and diluted p £'000 p £'000
The net return per ordinary share is based on the following figures:
Revenue net return 1.59 2,419 2.05 3,149
Capital net return 15.51 23,538 12.51 19,182
Total net return 17.10 25,957 14.56 22,331
Weighted average number of ordinary shares in issue: 151,797,658 153,746,294
There are no diluting elements to the earnings per share calculation in the
six months ended 31 March 2025 (2024: none).
8 Investments Six months Year ended
ended 31 March 2025 30 September 2024 Unquoted Investments
Unquoted Investments
£'000 £'000
Fair value through profit or loss:
Opening market value 1,177,106 1,261,995
Opening investment holding gains (260,069) (304,198)
Opening book cost 917,037 957,797
Movements in the period/year:
Additions at cost 107,137 157,648
Secondary purchases - 6,065
Distribution of capital proceeds (76,691) (143,595)
Secondary sales (26,677) (143,682)
920,806 834,233
Gains on disposal of underlying investments 53,870 82,804
Closing book cost 974,676 917,037
Closing investment holding gains 239,361 260,069
Closing market value 1,214,037 1,177,106
The total capital gain on investments of £32,697,000 (2024: £27,134,000) per
the Condensed Statement of Comprehensive
Income for the six months ended 31 March 2025 also includes transaction costs
of £465,000 (2024: £88,000).
9 Net asset value per equity share As at 31 March 2025 As at 30 September 2024
Basic and diluted:
Ordinary shareholders' funds £1,195,241,699 £1,192,104,190
Number of ordinary shares in issue 153,746,294 153,746,294
Number of shares excluding those held in treasury 150,961,166 152,806,166
Net asset value per ordinary share 791.8p 780.1p
The net asset value per ordinary share and the ordinary shareholders' funds
are calculated in accordance with the Company's articles of association.
There are no diluting elements to the net asset value per equity share
calculation in the six months ended 31 March 2025
(2024: none).
The Company repurchased 1,845,000 (2024: 385,491) of its own ordinary shares
during the six months ended 31 March
2025 which are held in treasury.
As at As at
31 March 2025 30 September 2024
10. Receivables £'000 £'000
Amounts falling due within one year:
Investments receivable 93,416 129,996
Prepayments 142 104
Interest receivable 11 47
Total 93,569 130,147
Investments receivable as at 31 March 2025 relate to sales proceeds due to the
Company, receivable in three contractual payments. Having received the first
and second payments in December 2024 and January 2025, the final payment is
due in September 2025.
11 Revolving credit facility As at 31 March 2025 As at 30 September 2024
£'000 £'000
Revolving credit facility 125,889 139,803
On 24 January 2025, the Company announced an expansion to the committed,
multicurrency syndicated revolving credit facility, which has increased from
£300.0 million to £400.0 million. Banco Santander, S.A. and State Street
Bank & Trust Company joined the syndicate of banks as new lenders
alongside current providers The Royal Bank of Scotland International Limited
(London Branch), Société Générale, London Branch and State Street Bank
International GMBH. NatWest Markets plc continues to act as facility agent and
will now also act as security agent to the syndicate of banks. The effective
date of the amended facility was 3 February 2025. This credit facility now
matures on 3 February 2028 with options to extend for up to a further two
years.
The interest rate on each loan drawn within the facility is now calculated as
the margin of 2.6% plus the defined reference rate, dependent on the currency
drawn. The commitment fee payable on non-utilisation is between 0.8% and 0.9%
per annum, depending on the level of utilisation.
At 31 March 2025, £128,038,000 (30 September 2024: £140,616,000) had been
drawn down.
Inclusive of the revolving credit facility balance is £2,149,000 of
unamortised revolving credit facility fees which partially
offsets the total amount of the facility balance drawn as at 31 March 2025
(2024: £813,000).
12 Commitments and contingent liabilities As at 31 March 2025 As at 30 September 2024
£'000 £'000
Outstanding calls on investments 705,214 652,709
This represents commitments made to fund and co-investment interests remaining
undrawn.
13. Fair Value hierarchy
FRS 104 requires an entity to classify fair value measurements using a fair
value hierarchy that reflects the significance of the inputs used in making
the measurements. The fair value hierarchy has the following classifications:
• Level 1: The unadjusted quoted price in an active market for
identical assets or liabilities that the entity can access at the measurement
date.
• Level 2: Inputs other than quoted prices included within Level
1 that are observable (i.e., developed using market data) for
• the asset or liability, either directly or indirectly.
• Level 3: Inputs are unobservable (i.e., for which market data
is unavailable) for the asset or liability.
The Company's financial assets and liabilities, measured at fair value in the
Condensed Statement of Financial Position, are grouped into the following fair
value hierarchy at 31 March 2025:
Financial assets at fair value through profit or loss Level 1 Level 2 Level 3 Total
£'000 £'000 £'000 £'000
Unquoted investments - - 1,214,037 1,214,037
Net fair value - - 1,214,037 1,214,037
As at 30 September 2024:
Financial assets at fair value through profit or loss Level 1 Level 2 Level 3 Total
£'000 £'000 £'000 £'000
Unquoted investments - - 1,177,106 1,177,106
Net fair value - - 1,177,106 1,177,106
Unquoted Investments
Unquoted investments are stated at the directors' estimate of fair value and
follow the recommendations of the EVCA and the BVCA (European Private Equity
& Venture Capital Association and British Private Equity & Venture
Capital Association). The estimate of fair value is normally the latest
valuation placed on an investment by its manager as at the Condensed Statement
of Financial Position date. The valuation policies used by the manager in
undertaking that valuation will generally be in line with the joint
publication from the EVCA and the BVCA, 'International Private Equity and
Venture Capital Valuation guidelines'. Fair value can be calculated by the
manager of the investment in a number of ways. In general, the managers with
whom the Company invests adopt a valuation approach which applies an
appropriate comparable listed company multiple to a private company's earnings
or by reference to recent transactions. Where formal valuations are not
completed as at the Condensed Statement of Financial Position date, the last
available valuation from the manager is adjusted for any subsequent cash flows
occurring between the valuation date and the Condensed Statement of Financial
Position date. The Company's Manager may further adjust such valuations to
reflect any changes in circumstances from the last manager's formal valuation
date to arrive at the estimate of fair value.
14. Investment in Subsidiaries
As at 5 March 2025, the Company became the sole investor in PPET Investments
Limited (the 'subsidiary'), a Scottish private limited company. The registered
address is New Clarendon House, 114- 116 George Street, Edinburgh, EH2 4LH.
As at 31 March 2025, the Company holds 100 shares in the subsidiary, at a
price of £0.0001. This amount is not yet paid. This number of shares
represents all forms of equity issued by the subsidiary.
Under FRS 102, as the subsidiary is not deemed material for the purpose of
giving a true and fair view of the Company as at 31 March 2025, consolidated
financial statements have not been prepared.
15. Parent Undertaking, Related Party Transactions and Transactions with the
Manager
The ultimate parent undertaking of the Company is Phoenix Group Holdings. The
results of the Company are incorporated into the group financial statements of
Phoenix Group Holdings, which will be available to download from the website
www.thephoenixgroup.com.
Phoenix Life Limited ("PLL", which is 100% owned by Phoenix Group Holdings),
and the Company have entered into a relationship agreement which provides
that, for so long as PLL and its Associates exercise, or control the exercise,
of 30% or more of the voting rights of the Company, PLL and its Associates,
will not seek to enter into any transaction or arrangement with the Company
which is not conducted at arm's length and on normal commercial terms, take
any action that would have the effect of preventing the Company from carrying
on an independent business as its main activity or from complying with its
obligations under the Listing Rules or propose or procure the proposal of any
shareholder resolution which is intended or appears to be intended to
circumvent the proper application of the Listing Rules. During the period
ended 31 March 2025, PLL received dividends from the Company totalling
£6,919,000 (31 March 2024: £6,590,000).
During the period ended 31 March 2025 the Manager charged management fees
totalling £5,518,000 (31 March 2024: £5,710,000) to the Company in the
normal course of business. The balance of management fees outstanding at 31
March 2025 was £1,918,000 (30 September 2024: £2,627,000).
GPMS Corporate Secretary Limited, which shared the same ultimate parent as the
Manager during the period ended 31 March 2025, earned fees for the provision
of Company Secretarial services of £45,000 (31 March 2024: £22,000) during
the period. The balance of secretarial fees outstanding at 31 March 2025 was
£110,000 (30 September 2024: payable of £66,000).
The Company has an investment in a subsidiary, PPET Investments Limited,
details of which are in Note 14.
No other transactions to the ultimate parent, related parties or the Manager
were undertaken during the six months ended 31 March 2025.
ALTERNATIVE PERFORMANCE MEASURES ("APMs")
APMs are numerical measures of the Company's current, historical or future
performance, financial position or cash flows, other than financial measures
defined or specified in the applicable financial framework. The Company's
applicable financial framework includes FRS 102 and the Association of
Investment Companies ('AIC') SORP.
The APMs are considered by the Board and the Manager to be the most relevant
basis for shareholders in assessing the overall performance of the Company and
for comparing the performance of the Company to its peers, taking into account
industry practice.
In selecting these APMs, the Directors considered the key objectives and
expectations of typical investors in an investment trust such as PPET.
Annualised NAV Total Return
Annualised NAV total return is calculated as the return of the net asset value
('NAV') per share compounded on a quarterly basis, based on reported NAV per
share from inception to 31 March 2025. NAV total return is inclusive of all
dividends received since inception and assumes all dividends are reinvested at
the time they are received and generate the same return as NAV per share
during each reporting period.
Assuming dividends are not reinvested results in an annualised NAV total
return of 13.0% since inception.
Discount
The amount by which the market price per share is lower than the net asset
value ('NAV') per share of an investment trust. The discount is normally
expressed as a percentage of the NAV per share.
As at As at
31 March 30 September
2025
2024
Share price (p) a 558.0 535.0
Net Asset Value per share (p) b 791.8 780.1
Discount (%) c = (b-a) / b 29.5 31.4
Dividend yield (annualised)*
The total dividend per Ordinary Share in respect of the financial year divided
by the share price, expressed as a percentage, calculated at the year-end date
of the Company.
As at 31 March 2025 As at 30 September 2024
Dividend per share (p) a 17.6^ 16.8
Share price (p) b 558.0 535.0
Dividend yield (%) c=(a/b) 3.2^ 3.1
^ Based on forecast dividend per share for the financial year to 30 September 2025 against share price at 31 March 2025.
Gearing
Gearing refers to the ratio of the Company's debt to its equity capital. The
Company may borrow money to invest in additional investments for its
portfolio.
NAV Total Return ('NAV TR')
NAV TR shows how the NAV has performed over a period of time in percentage
terms, taking into account both capital returns and dividends paid to
shareholders. This involves reinvesting the net dividend into the NAV at the
end of the quarter in which the shares go ex-dividend. Returns are calculated
to each quarter-end in the year and then the total return for the year is
derived from the product of these individual returns.
NAV total return
NAV per share (p) as at 30 September 2024 a 780.1
NAV per share (p) as at 31 March 2025 b 791.8
Price Movement c=(b/a)-1 1.5%
Dividend Reinvestment 1 d 1.1%
NAV TR e=c+d 2.6%
1 NAV TR assumes investing the dividend in the NAV of the Company on the date on which that dividend goes ex-dividend.
Ongoing charges ratio ('OCR')
The ongoing charges ratio is calculated as management fees and all other
recurring operating expenses that are payable by the Company, excluding the
costs of purchasing and selling investments, performance fees, finance costs,
taxation, nonrecurring costs, and the costs of any share buyback transactions,
expressed as a percentage of the average NAV during the period.
The ongoing charges ratio has been calculated in accordance with the
applicable guidance issued by the AIC.
Six months ended Year ended
31 March 2025 30 September 2024
£'000 £'000
Investment management fee a 5,518 11,412
Administrative expenses b 915 1,269
Subtotal a+b 6,433 12,681
Ongoing charges * c=a+b* 12,866 12,681
Average net assets d 1,197,065 1,200,147
Expense ratio e=c/d 1.07% 1.06%
* The interim ongoing charges figure above is calculated using actual costs
and charges to 31 March 2025 annualised for the full financial year.
Over-commitment ratio
Outstanding commitments less cash and cash equivalents and the value of
undrawn loan facilities divided by portfolio NAV.
Six months ended Year ended
30 September 2024
31 March 2025
£000s
£000s
Undrawn commitments a 705,214 652,708
Less cash and cash equivalent b (17,588) (28,358)
Less undrawn debt facility c (271,962) (159,384)
Less deferred consideration d (92,928) (129,996)
Net outstanding commitments e= a + b + c + d 322,736 334,970
Portfolio NAV f 1,214,037 1,177,106
Over-commitment ratio g=e/f 26.6% 28.5%
Share price total return
The theoretical return derived from reinvesting each dividend in additional shares in the Company on the day that the share price goes ex-dividend.
Date Share price
Share price (p) as at 30 September 2024 a 535.0
Share price (p) as at 31 March 2025 b 558.0
Price Movement (%) c=(b/a)-1 4.3%
Dividend Reinvestment (%) 1 d 1.6%
Share price total return (%) e=c+d 5.9%
1 Share price total return assumes reinvesting the dividend in the share
price of the Company on the date on which that dividend goes ex-dividend.
For Patria Private Equity Trust plc
GPMS Corporate Secretary Limited, Company Secretary
For further information, please contact:
Patria Private Equity Trust plc
Alan Devine (Chair) via SEC Newgate
The Manager & Company Secretary
Alan Gauld (Lead Investment Manager) via SEC Newgate
Amber Sarafilovic (Marketing & IR) via SEC Newgate
Paul Evitt (Company Secretary) via SEC Newgate
SEC Newgate
Sally Walton +44 (0)20 3757 6872
ppet@secnewgate.co.uk
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