Estimated NAV at 30 September 2023

abrdn Private Equity Opp Trst plc

18 October 2023

 

abrdn Private Equity Opportunities Trust plc

Legal Entity Identifier (LEI): 2138004MK7VPTZ99EV13

18 October 2023

abrdn Private Equity Opportunities Trust plc ("APEO" or "the Company") announces its estimated net asset value ("NAV") at 30 September 2023

·      Estimated NAV at 30 September 2023 was 769.4 pence per share (estimated NAV at 31 August 2023 was 757.2 pence per share), a 1.6% increase from the month of August

·      Excluding new investments, 100.0% by value of portfolio dated 30 June 2023 (estimated NAV at 31 August 2023 was 96.7% dated 30 June 2023)

·      APEO paid £16.3 million of drawdowns to existing commitments and received £10.8 million of distributions from fund investments during the month of September

·      APEO undertook a partial realisation of its co-investment in Action during September, returning €34.6 million in proceeds which were received during October

·      Outstanding commitments of £650.0 million at 30 September 2023

·      Liquid resources (cash balances plus undrawn credit facilities) were £207.1 million as at 30 September 2023

·      Statement regarding the conditional sale of the Investment Manager to Patria Investments Ltd

APEO's valuation policy for private equity funds and co-investments is based on the latest valuations reported by the managers of the funds and co-investments in which the Company has interests. In the case of APEO's valuation at 30 September 2023, excluding new investments, 100.0% by value of the portfolio valuations were dated 30 June 2023. The value of the portfolio is therefore generally calculated as the 30 June 2023 valuation, adjusted for subsequent cashflows over the period to 30 September 2023.

This is an update from the estimated NAV at 31 August 2023, whereby 96.7% of the portfolio valuations, excluding new investments, were dated 30 June 2023, adjusted for subsequent cashflows over the period to 31 August 2023.

Estimated NAV

At 30 September 2023, APEO's estimated NAV was 769.4 pence per share (estimated net assets £1,183.0 million), representing a 1.6% per share increase from the estimated NAV at 31 August 2023 of 757.2 pence per share (estimated net assets £1,164.2 million). The 12.2 pence increase in NAV per share reflected gains arising primarily from a 1.3% appreciation in the euro versus sterling and a 3.7% appreciation in the dollar versus sterling during September.

Drawdowns and distributions

APEO paid £16.3 million of drawdowns to existing commitments and received £10.8 million of distributions from fund investments during the month of September.

Drawdowns during the period were across several of APEO's fund investments, primarily to fund new underlying portfolio company investments and management fees.

The distributions received generated realised gains and income of £3.6 million. The most notable distribution related to Nordic Capital Fund IX, where the Fund sold its position in Macrobond, a global provider of software and macroeconomic and financial data, to Francisco Partners.

Partial realisation of Action

During the month of September a further partial realisation in Action was completed, following the transactions previously reported in April and May. The transaction realised €34.6 million of proceeds which were received during October at a value equivalent to 100% of 30 June 2023 NAV.

As a reminder, APEO has been an investor in Action since 2011, initially through 3i Eurofund V and then as a co-investor alongside 3i, Action's lead investor. Following the partial realisation, Action remains the largest underlying portfolio company in APEO's portfolio with a remaining value of £24.6 million, equivalent to 1.9% of total portfolio NAV as at 30 September 2023.

Investment activity

There were no new commitments to announce from the month of September.

Commitments

The Company had £650.0 million of outstanding commitments at 30 September 2023. The Manager believes that around £94.3 million of the Company's existing outstanding commitments are unlikely to be drawn.

Credit facility and cash balances

The Company has a £300.0 million syndicated revolving credit facility provided by The Royal Bank of Scotland International Limited, Societe Generale and State Street Bank International GmbH, and it expires in December 2025. The Company made no repayments to or drawdowns from the facility during the month of September, with a total of £102.4 million drawn at 30 September 2023. The remaining undrawn balance of the facility at 30 September 2023 was therefore £197.6 million.

In addition, the Company had cash balances of £9.5 million at 30 September 2023. Liquid resources, calculated as the total of cash balances and the undrawn balance of the credit facility, were therefore £207.1 million as at 30 September 2023.

Statement regarding the Investment Manager

The Board of APEO notes the announcement made by abrdn plc ("abrdn") in respect of the conditional sale (the "Transaction") of its European-headquartered Private Equity business ("abrdn Private Equity"), including abrdn Capital Partners LLP ("abrdn Capital Partners"), to Patria Investments Ltd ("Patria"), a global alternative asset manager established in Latin America.

abrdn Capital Partners is the Company's investment manager and Alternative Investment Fund Manager (AIFM).  The Board has been discussing the proposed Transaction with abrdn, the Company's investment management team and with Patria.  The Board has received assurances from abrdn and Patria that the Company's investment management team will remain unchanged should the Transaction proceed.  abrdn has also confirmed that appropriate arrangements will be put in place to maintain the existing administration and other services currently provided by abrdn or third party service providers.

The Board is evaluating the impact of the Transaction on the Company and its management team and is continuing to have constructive discussions with Patria. No changes will be made to the Company's existing management and administration arrangements prior to the Transaction completing. The Board will provide an update to APEO's shareholders on the progress of the Transaction in due course. For further information, please refer to the announcement dated 16 October 2023.

Future announcements

The Company is expecting to announce its estimated NAV at 31 October 2023 on or around 14 November 2023.

Additional detail about APEO's NAV and investment diversification can be found on APEO's website. Neither the contents of the Company's website nor the contents of any website accessible from hyperlinks on the Company's website is incorporated into, or forms part of, this announcement.

For further information please contact Alan Gauld at abrdn Capital Partners LLP (0131 528 4424)

Notes:-

abrdn Private Equity Opportunities Trust plc is an investment company managed by abrdn Capital Partners LLP, the ordinary shares of which are admitted to listing by the UK Listing Authority and to trading on the Stock Exchange and which seeks to conduct its affairs so as to qualify as an investment trust under sections 1158-1165 of the Corporation Tax Act 2010. The Board of abrdn Private Equity Opportunities Trust plc is independent of abrdn plc and Phoenix Group Holdings.

The Company intends to release regular estimated NAV updates around ten business days after each month end. A breakdown of APEO's portfolio can be obtained in the latest monthly factsheet, which is published on APEO's website at:

www.abrdnpeot.co.uk

 

END