Interim Management Statement

RNS Number : 0164A

Standard Life Equity Income Tst PLC

13 February 2014

 

Standard Life Equity Income Trust PLC -

Interim Management Statement ('IMS') - three months to 31 December 2013 (unaudited)

Investment objective

The objective of Standard Life Equity Income Trust PLC is to provide shareholders with an above average income from their equity investment while also providing real growth in capital and income.

Benchmark

FTSE All-Share Index.

Performance for period(s) ended 31 December 2013 **

	3 months	1 year	2 Years	3 years	4 years	5 years
	%	%	% p.a.	% p.a.	% p.a.	% p.a.
Share Price Total Return	7.4	33.1	29.6	14.4	15.8	17.3
NAV Total Return	9.0	32.8	25.8	13.5	14.1	16.8
FTSE All Share Index Total Return	5.5	20.8	16.5	9.4	10.7	14.3
FTSE 350 High Yield Index Total Return	5.1	20.5	14.2	11.2	9.9	11.7

** The percentage growth figures are calculated over periods to 31 December 2013 on a mid to mid basis. Standard Life Investments was appointed to manage the Standard Life Equity Income Trust in November 2005.

(Source: Standard Life Investments, total returns)

Ten largest equity holdings as at 31 December 2013

	% of Total Investments
HSBC Holdings	4.5
Vodafone	4.0
BT	3.9
Smith (DS)	3.1
BP	3.0
easyjet	2.9
Legal & General	2.6
Howden Joinery	2.4
GKN	2.2
Close Bros	2.2
Total	30.8

(Source: Standard Life Investments)

Sector allocation as at 31 December 2013

	% of Net Assets
Financials	38.0
Industrials	23.1
Consumer Services	18.2
Telecommunications	8.8
Consumer Goods	7.4
Oil & Gas	7.2
Basic Materials	4.4
Healthcare	1.7
Information Technology	1.5
Utilities	1.0
Net Borrowings	-11.3
Total	100.0

(Source: Standard Life Investments)

General description of Company's financial position and performance as at 31 December 2013

Gross Assets	£187.5m
Ordinary share price	407.5p
Subscription share price	106.0p
Diluted net asset value^	412.3p
(Discount) /Premium to net asset value	-1.2%
Package (Discount)/Premium*	4.0%
Yield (net)	3.3%
Current equity gearing	11.3%

(Source: Standard Life Investments)

^ Diluted NAV including income

* Based on 1 Ordinary Share and 1/5 Subscription Share

Note: Past performance is not a guide to future performance. The price of shares and the income from them may go down as well as up and cannot be guaranteed; an investor may receive back less than the original investment.

Material events

Following shareholder approval at the Annual General Meeting ("AGM") on 18 December 2013, a fourth quarterly dividend of 3.80p per ordinary share was declared in respect of the year ended 30 September 2013.  This was paid on 20 December 2013 to shareholders on the register on 29 November 2013.  All other resolutions put to the AGM were approved by shareholders.

The Board is not aware of any significant events or transactions which have occurred between 31 December 2013 and the date of publication of this IMS which would have a material impact on the financial position of the Company. For the Manager's latest Investment Review & Outlook, please refer to the Quarterly Factsheet which may be found, together with other useful information, on the Manager's Investment Trusts' website (www.standardlifeinvestments.co.uk/its).

Material transactions

Subscription Shares

During the period, notice was given to the holders of the subscription shares stating that they could exercise their subscription rights on 31 December 2013.  If holders of subscription shares chose not to exercise their rights on this occasion, they still have the right to subscribe at 320p on the last business day of June and December in any of the years 2014 to 2016.  Following the conversion of 230,219 subscription shares on 31 December 2013 there are 6,966,279 subscription shares in issue.

Treasury Shares

During the period, the Company transferred 550,000 new ordinary shares from treasury at a premium to net asset value under its annual non pre-emptive authorities in response to market demand for the Company's shares (see table below):

Transfers from Treasury	Number of Shares
22 October 2013	150,000
25 October 2013	100,000
29 October 2013	100,000
24 December 2013	200,000
Total	550,000

As a result, as at 31 December 2013, the Company had a share capital structure comprising 38,969,941 ordinary shares (excluding treasury shares) and 40,127,269 (including treasury shares).  The number of ordinary shares held in treasury was 1,157,328.

During the period from 1^st January 2014 to the date of this IMS, the Company transferred 450,000 new ordinary shares from treasury at a premium to net asset value under its annual non pre-emptive authorities in response to market demand for the Company's shares (see table below):

Transfers from Treasury	Number of Shares
8 January 2014	100,000
5 February 2014	100,000
12 February 2014	250,000
Total	450,000

As a result, as at the date of this IMS, the Company's issued ordinary share capital with voting rights is 39,650,160 ordinary shares (excluding treasury shares) and 40,357,488 (including treasury shares) ordinary shares.  The number of ordinary shares held in treasury is 707,328 as at the date of this IMS.  The number of Subscription Shares remains at 6,966,279.

The total amount of the revolving loan facility is £20 million.  The borrowings at the period end were fully drawn down. 

To the members of Standard Life Equity Income Trust PLC

This IMS has been produced solely to provide additional information to shareholders as a body to meet the relevant requirements of the UK Listing Authority's Disclosure and Transparency Rules. It should not be relied upon by any other party or for any other purpose.

This IMS relates to the period from 1 October 2013 to 31 December 2013 ("the period"), and contains information that covers this period, and up to the date of publication of this IMS, unless otherwise specified.

For Standard Life Equity Income Trust PLC

Maven Capital Partners UK LLP, Secretary

13 February 2014

 

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