London listed private equity fund JZ Capital Partners, an investor in US and European micro cap companies, has now seen NAV growth in 20 of the past 22 quarters.
The firm’s NAV totalled USD657.4 million at 31 August 2014 (FYE 28/02/14: USD666.5 million), with pre-dividend NAV per share of USD10.27 (FYE 28/02/14: USD10.25). A distribution of 16 cents per share was paid in June 2014, while an interim dividend of 15 cents per share was paid for the period (H1 2013: 14.5 cents per share).
The firm saw USD96.4 million of proceeds during the period, primarily from the following realisations:
• USD10.1 million from the sale of Galson Laboratories; USD19.4 million from the sale of Amptek; and USD57.3 million from the sale of Safety Insurance.
• EUR18.0 million in Petrocorner, a strategic build-up to acquire two to three per cent of Spain’s petrol station market
• USD16.2 million in TierPoint, a provider of information technology and data centre services
• USD4.2 million in Igloo, the iconic outdoor cooler business
• EUR4.0 million in Toro Finance, our short-term working capital finance company in Spain
• Five new US real estate properties acquired through an experienced manager.
• USD65.7 million raised through the issuance of Convertible Unsecured Loan Stock (CULS) providing a more flexible capital structure, greater liquidity and additional capital for further investments
• At the end of the period, the portfolio consisted of 65 investments across 10 industries
David Zalaznick, JZCP’s founder and investment adviser, says: “We are extremely pleased with the continuation of the high level of investment and realization activity over the past six months, which has delivered NAV growth for 20 of the past 22 quarters. The combination of excellent management teams and high quality portfolio companies and real estate assets, continues to position the company for long-term growth.
“We enter the next six months with a healthy pipeline of investment opportunities, which we expect to contribute to positive NAV development in the future.”
David Macfarlane, chairman of JZCP, says: “I am very happy with the progress the company has made during the first half of the year and the results underline the strength of the company’s disciplined investment approach against an uncertain economic backdrop. We remain committed to increasing shareholder value and delivering consistent NAV growth going forward.”
