NB Private Equity Partners, a closed-end private equity fund of funds investment company, has reached agreements in principle to sell its interest in eight large-cap buyout fund investments for an aggregate 5.1 per cent discount to its carrying value of USD108.6m.
NB Private Equity Partners, a closed-end private equity fund of funds investment company, has reached agreements in principle to sell its interest in eight large-cap buyout fund investments for an aggregate 5.1 per cent discount to its carrying value of USD108.6m.
NB Private Equity Partners, a closed-end private equity fund of funds investment company, has reached agreements in principle to sell its interest in eight large-cap buyout fund investments for an aggregate 5.1 per cent discount to its carrying value of USD108.6m.
NB Private Equity Partners, a closed-end private equity fund of funds investment company, has reached agreements in principle to sell its interest in eight large-cap buyout fund investments for an aggregate 5.1 per cent discount to its carrying value of USD108.6m.
NB Private Equity Partners, a closed-end private equity fund of funds investment company, has reached agreements in principle to sell its interest in eight large-cap buyout fund investments for an aggregate 5.1 per cent discount to its carrying value of USD108.6m.
These fund interests represent approximately 18 per cent of NBPE’s private equity portfolio value as of 30 September 2010.
The sale, which is expected to close over the next six to 12 weeks, will release NBPE from approximately USD24.1m of related unfunded commitments as of 31 August 2010.
Including fees and expenses, the sale will be dilutive to NAV per share by approximately USD0.13, or 1.4 per cent, as of 31 August 2010.
NBPE intends to use the proceeds from the sale to launch an ongoing capital return policy and for strategic portfolio repositioning.
As of 30 September 2010, NBPE’s unaudited NAV per share (as adjusted for the asset sale) was USD9.63, which represents an increase of 1.2 per cent compared to the unaudited NAV per share of USD9.52 at 31 August 2010.
On 6 October 2010, Dresser, one of the company’s largest private co-investments and underlying holdings, agreed to be acquired by General Electric for approximately USD3bn. The transaction is subject to customary closing conditions including US and European regulatory approval and is expected to close promptly after receiving regulatory approval.
Prior to the announcement, Dresser was the second largest company in NBPE’s portfolio based on fair value. Based on the expected sale value, NBPE increased its carrying value in Dresser by over 66 per cent for the purposes of the 30 September 2010 unaudited NAV. In aggregate, the change in value of Dresser was accretive to NAV by approximately USD0.15 per share.