HarbourVest Global Private Equity Limited’s (HVPE) estimated Economic Net Asset Value stood at USD1,098.0 million, or USD11.02 per share, as at 30 September 2011. This is a 0.3% (USD0.03) decrease from the 31 August 2011 estimated Economic NAV per share of USD11.05.
This change was driven by an increase in the valuation of HVPE’s investment in Absolute Private Equity, Ltd. (approximately USD0.38 per share), which was offset by negative foreign currency movement (USD0.18 per share), decreases in the value of publicly-traded holdings to 30 September 2011 (USD0.13 per share), transaction costs and accrued performance fees related to the Absolute investment (USD0.06 per share), decreases in the value of privately-held investments (USD0.02 per share), and ongoing operating expenses (USD0.02 per share).
On 13 September 2011, HVPE (alongside HarbourVest managed secondary funds) closed its USD87.0 million investment in a public tender offer for all bearer shares of Absolute, an investment company with a pool of over 70 private equity partnerships, incorporated in Switzerland and listed on SIX Swiss Exchange. The offer price represented a 30% discount to Absolute’s reported net asset value per share.
In September 2011, HVPE funded USD22.6 million of capital calls to U.S. fund-of-funds, a direct fund, and the global secondary fund; and funded a total of USD85.1 million to the Absolute transaction, including expenses. The Company received USD7.2 million in distributions from U.S. fund-of-funds and the global secondary fund during September.
Liquidity events continued across HVPE’s underlying portfolio during September 2011 as 29 portfolio companies completed sale transactions. These include HVPE’s two largest underlying companies at 31 July 2011. Nycomed was acquired by Takeda Pharmaceutical Company Limited for EUR9.6 billion, and MYOB was acquired by Bain Capital for AUSD1.2 billion. HVPE is expected to receive initial proceeds from the sales in the near term.
