Statement re Intermediate Capital Group - Inter...

Embargoed until 7.00am on Tuesday 15 January 2013

 

 

Intermediate Capital Group plc (ICG) announces its Interim Management Statement for the period to 14 January 2013

Highlights

• AUM rises 7% to €12.9 billion since the end of September 

• ICG Europe Fund V final close at its maximum size of €2.5 billion  

• ICG-Longbow III first close of £212 million 

• Solid pipeline of investment opportunities 

• Resilient portfolio and continued low level of realisations 

Fund Management Company

Assets under management have increased 7% since the end of September and 13% since the start of the financial year to €12.9 billion. This is driven by good progress in fundraising for our mezzanine funds.

Mezzanine Funds
We are delighted to have had a final close on ICG Europe Fund V at its maximum permitted size of €2.5 billion and a first close of £212 million on ICG-Longbow Fund III. These numbers include €500 million and £50 million, respectively, committed by ICG.

Our mezzanine portfolio performance continues to be broadly resilient, despite the challenging economic environment.

We continue to see a solid pipeline of investment opportunities. We closed two deals in the period with our European Fund V supporting a management led buyout of ATPI and acquiring senior debt in existing portfolio company Icopal. ATPI is a UK travel based management company with a focus on need-to-work travel and specialisms in the oil, gas and marine segments. In addition, we signed two other deals, one in the UK and one in Norway, which are expected to complete before the year end, subject to regulatory approvals. Including these four transactions ICG Europe Fund V will be 26% invested.

Credit Funds
Our credit funds are performing as expected and delivering strong returns in the context of a rising market. Notwithstanding a mixed macro picture for 2013 we continue to see attractive investment opportunities for our funds.

Fundraising for ICG Senior Debt Partners continues apace with a first close expected before the end of the financial year. The fund focusses on direct lending of senior secured loans to European mid-market corporate borrowers, addressing the structural need for new suppliers of capital across Europe.

Investment Company

The Investment Company's portfolio performance remains broadly resilient despite the prolonged economic slowdown.  

As anticipated in the current macro environment, the period has seen a continued low level of realisations. A total of £40 million of principal repayments have been received in the quarter to 31 December 2012, £91 million year to date. In addition, £15 million of rolled up interest has been crystallised, £25 million year to date.

New investments totalling £18 million were made during the quarter, primarily comprising the ATPI and Icopal transactions mentioned above, and is presented net of £31 million of investments syndicated to ICG Europe Fund V following its final close. This brings the total investments in the year to date to £176 million.

Balance Sheet Funding
The balance sheet remains well funded with available cash and unutilised bank lines of £406 million at 31 December 2012.

Investor enquiries

Christophe Evain, CEO, ICG       [phone]
Philip Keller, CFO, ICG       [phone]
Ian Stanlake, Investor Relations, ICG       [phone]

Media enquiries

Neil Bennett, Maitland       [phone]
Tom Eckersley, Maitland       [phone]
Helen Barnes, Communications, ICG       [phone]

This Interim Management Statement has been prepared solely to provide additional information to shareholders and meets the relevant requirements of the UK Listing Authority's Disclosure and Transparency Rules. The Interim Management Statement should not be relied on by any other party or for any other purpose.

This Interim Management Statement may contain forward looking statements. These statements have been made by the Directors in good faith based on the information available to them up to the time of their approval of this report and should be treated with caution due to the inherent uncertainties, including both economic and business risk factors, underlying such forward looking information.

These written materials are not an offer of securities for sale in the United States. Securities may not be offered or sold in the United States absent registration under the US Securities Act of 1933, as amended, or an exemption therefrom. The issuer has not and does not intend to register any securities under the US Securities Act of 1933, as amended, and does not intend to offer any securities to the public in the United States.  No money, securities or other consideration from any person inside the United States is being solicited and, if sent in response to the information contained in these written materials, will not be accepted.

About ICG
Founded in 1989, ICG is a specialist asset manager providing mezzanine finance, leveraged credit and minority equity, managing €13 billion of assets in third party funds and proprietary capital. ICG has a large and experienced investment team operating from its head office in London with a strong local network of offices in Paris, Madrid, Stockholm, Frankfurt, Amsterdam, Hong Kong, Sydney and New York. Its stock (ticker symbol: ICP) is listed on the London Stock Exchange. Further information is available at: www.icgplc.com.

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Source: Intermediate Capital Group plc via Thomson Reuters ONE

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