Net Asset Value(s)

8 January 2015

                          CRYSTAL AMBER FUND LIMITED                           

                     ("Crystal Amber Fund" or the "Fund")                      

                            Monthly Net Asset Value                            


Crystal Amber Fund announces that its unaudited net asset value ("NAV") per
share on 31 December 2014 was 152.72p (30 November 2014: 150.07p per share).

The proportion of the Fund's NAV at 31 December 2014 represented by the ten
largest holdings, other investments and cash (including accruals), was as
follows:

Top ten holdings               Pence per share  Percentage of investee equity  
                                                             held              
                                                                               
AER Lingus Group plc                34.4                     2.8%              
                                                                               
Sutton Harbour Holdings plc         11.9                    29.2%              
                                                                               
Leaf Clean Energy Company           11.1                    19.7%              
                                                                               
Thorntons plc                       10.6                    13.2%              
                                                                               
Tribal Group plc                     7.7                     3.9%              
                                                                               
NBNK Investments plc                 7.5                    28.2%              
                                                                               
Hurricane Energy plc                 7.2                     4.7%              
                                                                               
Juridica Investments Ltd             6.9                     3.7%              
                                                                               
STV Group plc                        6.9                     3.6%              
                                                                               
4imprint Group plc                   6.8                     2.3%              
                                                                               
Total of ten largest holdings       111.0                                      
                                                                               
Other investments                   37.6                                       
                                                                               
Cash and accruals                    4.1                                       
                                                                               
Total NAV                           152.7                                      

Investment Adviser's quarterly commentary on the portfolio

 

Over the quarter to 31 December 2014, NAV per share was down 1.48 per cent.

The top three positive contributors to NAV growth over the quarter to 31
December 2014 were Aer Lingus Group plc (7.8 per cent contribution), 4imprint
Group plc (0.53 per cent) and Plus500 Ltd (0.48 per cent).  The three main
detractors have been Hurricane Energy plc (-2.34 per cent), Sutton Harbour
Holdings plc (-1.67 per cent) and Thorntons plc (-1.29 per cent).

 

Over the quarter to 31 December 2014, the Fund disclosed an increase in its
positions in Thorntons plc, NBNK Investments plc, Hurricane Energy plc and a
reduction in its holdings in 4imprint Group plc, Hayward Tyler Group plc and
Juridica Investments Ltd. 

Aer Lingus Group plc ("Aer Lingus")

Over the period, the company reported strong trading, implemented the staff
pension fund solution following four years of negotiations, and received a
conditional offer from International Consolidated Airline Group (IAG).

Trading over the important summer months was strong, with revenue up 14%
year-on-year, driven by strong short haul performance and success of the long
haul capacity expansion.  As a result, profit guidance for 2014 was upgraded.

In September 2014, Aer Lingus reached a tripartite agreement with trade unions
and the company's main pension fund trustees to implement the recommendations
of the Expert Panel.  In November 2014, scheme members voted in favour of the
settlement and shareholders approved the €191 million contribution to the
arrangement. On 23 December 2014, the Pension's regulator approved the changes
to the scheme and so it was implemented as intended on 1 January 2015.

On 14 December 2014, the company received a conditional approach from IAG which
was rejected by Aer Lingus' board as undervaluing the company. 

In our view, Aer Lingus' growth strategy has been validated by its recent
performance. The Dublin hub, at the core of the company's transatlantic gateway
model, is gaining traction with the launch in 2014 of additional new long haul
routes and feeder connections.

The Fund had considered Aer Lingus to be highly vulnerable to a takeover offer
from one of its larger rivals. As the largest institutional shareholder in Aer
Lingus, the Fund now looks forward to engaging with the board of Aer Lingus.

API Group plc ("API")

The company announced weaker trading in its metallic pigment product, a
speciality of its US foils division.

Following engagement with the company, API announced that its chairman Richard
Wright would be stepping down in short order, with the CEO assuming his role
temporarily.

The Fund has actively supported the search for a new chairman and looks forward
to engaging with a strengthened board. 

 

4imprint Groupplc("4imprint")

 

4imprint reported good trading, with third quarter revenue in its main US
division 25 per cent ahead of the previous year. 

 

Following the pension buy-in in September 2014, the company announced the
change of its presentational currency to US dollars from the 2014 preliminary
results.  In December 2014, 4imprint announced that the CEO of its operating
unit will become group CEO and its executive chairman will become
non-executive.  

Thorntons plc ("Thorntons")

On 23 December 2014, Thorntons announced that despite like-for-like sales
growth in its retail division, a decline in sales in its UK commercial channel
would result in reduced earnings for the year to 30 June 2015.

In addition, the company conceded that its customers had suffered from earlier
difficulties resulting from its new centralised warehouse.

Despite these operational issues, the Fund remains confident in Thorntons'
brand value, growth prospects and strategic value.

 

Proposed placing of new ordinary shares and new dividend policy

 

On 10 December 2014, the Fund announced that it was considering a secondary
issue of new shares to facilitate further investment opportunities.  On 18
December 2014 the Fund announced that it had received conditional commitments
from investors and that it expected to raise minimum gross proceeds in excess
of £30 million.

 

The Fund's new dividend policy will aim to distribute income and realised gains
from investments. On 10 December 2014, the Board announced it intends to
recommend a dividend of 2.5p per share in respect of the six months ending 30
June 2015, which will be payable in or around September 2015 and an interim
dividend of 2.5p per share in respect of the six months ending 31 December
2015, making a total of 5p per share for the 2015 calendar year which, on the
basis of the NAV at 31 December 2014, would represent a dividend yield of
approximately 3.3 per cent.

 

Transactions in Shares          

 

Over the period, the Fund bought back 903,106 shares at an average price of
135p per share as part of its previously announced buyback programme. 

For further enquiries please contact:

Crystal Amber Fund Limited
William Collins (Chairman)
Tel: [phone]

Sanlam Securities UK Limited - Nominated Adviser
David Worlidge/James Thomas
Tel: [phone]

Numis Securities Limited - Broker
Nathan Brown/Hugh Jonathan
Tel: [phone]

Crystal Amber Advisers (UK) LLP - Investment Adviser
Richard Bernstein
Tel: [phone]