Net Asset Value(s)

RNS Number : 6294Y

Baker Steel Resources Trust Ltd

07 March 2017

 

BAKER STEEL RESOURCES TRUST LIMITED

(Incorporated in Guernsey with registered number 51576 under the provisions of The Companies (Guernsey) Law, 2008 as amended)

7 March 2017

28 February 2017 Unaudited NAV Statement

Net Asset Value

Baker Steel Resources Trust Limited (the "Company") announces its unaudited net asset value per share at 28 February 2017:

Net asset value per Ordinary Share: 50.0 pence

Since 31 January 2017 the NAV per share has decreased by 0.2% following small falls in certain of the listed positions.

The Company had a total of 116,139,980 Ordinary Shares in issue with a further 700,000 shares held in treasury as at 28 February 2017.

Portfolio Update

The Company is fully invested with top 10 investments as follows as a percentage of NAV:

Polar Acquisition Ltd	36.0%
Bilboes Gold Limited	13.0%
Ivanhoe Mines Limited	12.4%
Metals Exploration plc	10.3%
Cemos Group plc	6.5%
Black Pearl Limited Partnership	4.8%
Ironstone Resources Limited	4.4%
Nussir ASA	3.4%
China Polymetallic Mining Limited	2.3%
Gobi Coal & Energy Limited	1.2%
Other Investments	1.5%
Net Cash, Equivalents and Accruals	4.2%

Investment Update

During February 2017, the share price of Ivanhoe Mines Limited ("Ivanhoe") fell 3% to C$3.85 on profit taking following its rise from C$0.68 over the last year. However, during the month, the Ivanhoe share price rose above C$5.00 per share and the Company took the opportunity to sell a portion of its shareholding.

The strategy of the Company is to have significant stakes in 10 to 15 mainly unlisted companies where it can influence their development and the value creation process, often through board representation and to local management them through to a listing or other divestment opportunity. Although the Company was one of the first investors to recognise the potential of Ivanhoe's copper discoveries in the Democratic Republic of Congo and then invest while it was still a private company, Ivanhoe no longer sits in this core strategy. The Investment Manager continues to have a very high regard for Ivanhoe's assets and with positive news expected over the next few months considers there is a strong likelihood that Ivanhoe's share price will continue to rise. Should this occur, the Company will consider further realisations so that Ivanhoe does not become a greater proportion of the Company's net assets.

Following the turn in the mining market during 2016, the Investment Manager has been analysing several new opportunities and has recently made two small "seed" investments in an iron ore project and a potash project. Should these progress as expected they have the potential to grow into core investments.

Further details of the Company and its investments are available on the Company's website www.bakersteelresourcestrust.com 

Enquiries:

Baker Steel Resources Trust Limited                [phone]

Francis Johnstone
Trevor Steel

Numis Securities Limited                                   [phone]

David Benda (corporate)

James Glass (sales)

The Net Asset Value ("NAV") figure stated is based on unaudited estimated valuations of the underlying investments and not necessarily based on observable inputs. Such estimates are not subject to any independent verification or other due diligence and may not comply with generally accepted accounting practices or other generally accepted valuation principles. In addition, some estimated valuations are based on the latest available information which may relate to some time before the date set out above.

Accordingly, no reliance should be placed on such estimated valuations and they should only be taken as an indicative guide. Other risk factors which may be relevant to the NAV figure is set out in the Company's Prospectus dated 26 January 2015.

 

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