Half-Year Report
as of September 30, 2021
Private Equity Holding AG
Private Equity Holding offers institutional and private investors the opportunity to invest in a broadly diversified private equity portfolio.
The objective of Private Equity Holding is to generate long term capital growth for its shareholders.
Private Equity Holding's Investment Portfolio is managed by Alpha Associates.
Alpha Associates is an independent private equity, private debt and infrastructure manager and advisor, building and managing globally diversified private market fund portfolios for institutional and private clients.
Half-Year Report as of September 30, 2021 | 1
Table of Contents
Key Figures . . . . . . . . . . . . . . . . . . . . . . . . . . 2
Chairman's Letter for the
First Half of the Financial Year 2021/2022 . . . . . . . . . 3 Development of Net Asset Value and Share Price. . . . . 5 Portfolio Overview . . . . . . . . . . . . . . . . . . . . . . 6 Statement of Comprehensive Income . . . . . . . . . . .10 Balance Sheet . . . . . . . . . . . . . . . . . . . . . . . .11 Statement of Changes in Equity. . . . . . . . . . . . . . .12 Statement of Cash Flows . . . . . . . . . . . . . . . . . .13 Notes to the Financial Statements . . . . . . . . . . . . .14 Information for Investors . . . . . . . . . . . . . . . . . .24 Glossary of Terms . . . . . . . . . . . . . . . . . . . . . .25
- | Half-Year Report as of September 30, 2021
Key Figures for the First Half of the Financial Year 2021/2022
Share Value | 30.09.21 | 31.03.21 | Change | 30.09.21 | 31.03.21 | Change |
EUR | EUR | in %1 | CHF | CHF | in %1 | |
Net asset value per share, based on fair values | 141.50 | 121.33 | 16.6% | 152.99 | 134.20 | 14.0% |
Price per share (PEHN.S) | 83.24 | 66.90 | 24.4% | 90.00 | 74.00 | 21.6% |
1 Excl. distributions. | ||||||
01.04.21- | 01.04.20- | |||||
Net Profit/(Loss) for the Period | 30.09.21 | 30.09.20 | Change | |||
EUR 1,000 | EUR 1,000 | in % | ||||
Profit/(loss) for the period | 55,178 | (12,193) | n/a |
Selected Balance Sheet Items (Consolidated)2
30.09.21 | 31.03.21 | Change |
EUR 1,000 | EUR 1,000 | in % |
Current assets | 3,537 | 4,664 | (24%) |
Non-current assets | 364,116 | 316,557 | 15% |
Current liabilities | 9,924 | 13,152 | (25%) |
Non-current liabilities | - | - | n/a |
Total equity | 357,729 | 308,069 | 16% |
- Information herein is presented in addition to the IFRS Interim Financial Statements.
Asset Allocation
Unfunded | Total | Total | |
Fair Value | Commitments | Exposure3 | Exposure3 |
30.09.21 | 30.09.21 | 30.09.21 | 30.09.21 |
EUR million | EUR million | EUR million | in % |
Buyout funds | 116.2 | 56.4 | 172.6 | 36% |
Venture funds | 112.0 | 24.9 | 136.9 | 29% |
Special situation funds | 58.8 | 28.5 | 87.3 | 18% |
Total fund investments | 287.0 | 109.8 | 396.8 | 83% |
Direct investments and loans | 77.1 | 6.4 | 83.5 | 17% |
Total direct investments and loans | 77.1 | 6.4 | 83.5 | 17% |
Total funds, direct investments and loans | 364.1 | 116.2 | 480.3 | 100% |
- Fair value plus unfunded commitments.
Commitments | Change | ||
30.09.21 | 31.03.21 | in % | |
Unfunded commitments (EUR million) | 116.2 | 80.8 | 44% |
Overcommitment4 | 32.4% | 26.8% | 21% |
Net current assets / unfunded commitments | 0.2% | (3.2%) | n/a |
- Overcommitment = (unfunded commitments - net current assets) / (non-current assets - non-current liabilities). n/a = not meaningful
Half-Year Report as of September 30, 2021 | 3
Chairman's Letter for the First Half of the Financial Year 2021/2022
Dear Shareholders,
As of September 30, 2021, PEH reports a comprehensive income of EUR 55.2m and a net asset value per share (NAV) of EUR 141.50 (CHF 152.99), representing an increase of +18.1% in EUR (+15.5% in CHF) over the course of the reporting period and including the distribution of CHF 2.00 per share in June 2021. This marks an exceptional performance and lifts the total equity of the company above EUR 350m.
Strong Portfolio Performance
The NAV development was positive in five of the six months of the half-year reporting period, resulting in substantial NAV growth of 71.8% in EUR (+72.5% in CHF) year on year. The portfolio benefited from its sector exposure to technology and healthcare, several landmark IPOs and strong valuation gains based on market sentiment but also strong fundamentals. This held true for the fund portfolio in general, and also for several direct co-investments, incl. Earnix, an Israeli artificial intelligence software provider, Ozon.ru, a Russian online retailer, Dupont Sustainable Solutions, a leader in health, safety and environmental consulting, and Renaissance Learning, a digital learning solutions provider.
PEH received EUR 46.6m in distributions in the reporting period. One of the largest distributions came from Capvis III from a secondary transaction of the remaining assets in the fund; other noteworthy distributions were received from (i) ABRY VIII from the sale of Donuts, a domain name registry company, (ii) Avista IV distributing shares in kind of Organogenesis Holdings, a leading regenerative medicine company, as well as from (iii) Highland Europe II distributing proceeds from the sale of Condeco, a leading provider of integrated workspace booking solutions.
Increased Investment Activity
Due to uncertainties surrounding the impact of the COVID-19 pandemic and the aim of reducing PEH's credit facility usage, the investment activity in the financial year 2020/21 was somewhat muted. With the credit facility usage having been minimised at calendar year end, the overall positive market sentiment and very strong portfolio NAV development, has allowed for a more active investment activity throughout the first half of the financial year 2021/22.
PEH successfully completed several new investments in the first half of the financial year; these include a USD 7.0m commitment to TA XIV, a fund targeting growth capital investments in the middle market in the US and Europe as well as a USD 6.0m commitment to Abry Senior Equity VI, a fund completing senior equity investments in the media, communications, information and business services sectors in North America. Both fund managers are existing relationships for PEH.
Other new investments include a EUR 4.5m commitment to funds managed by Gyrus Capital, continuing a highly successful investment relationship following the co-investment in Dupont Sustainable Solutions, an operations management consulting firm, a USD 2.0m commitment to Insight Partners XII Buyout Annex Fund, a US-based growth equity fund focusing on the SaaS Market and a GBP 9.0m commitment to Pollen Street Capital IV, a lower mid-market fund focusing on financial and business services' companies in the UK.
Moreover, EUR 4.4m were invested via a single asset secondary transaction in Regina Maria, a private healthcare platform in Romania and Serbia.
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Private Equity Holding AG published this content on 04 November 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 04 November 2021 06:11:15 UTC.