HarbourVest Global Private Equity’s Limited (HVPE) estimated Economic Net Asset Value (economic NAV) as at 30 April 2011 stood at USD870.0 million or USD10.48 per share. This figure represents a 1.3% increase from the 31 March 2011 estimated Economic NAV per share of USD10.35, and a 21.3% increase from the 30 April 2010 estimated NAV per share of USD8.64.
This change was driven primarily by positive foreign currency movement (approximately USD0.12 per share), as well as by increases in value for privately-held companies as HVPE’s remaining direct and fund-of-fund holdings were revalued to reflect final 31 December 2010 results (USD0.03 per share). The value of HVPE’s publicly-traded holdings was flat during the month, while operating expenses reduced Economic NAV by USD0.02 per share.
In April 2011, HVPE funded USD16.7 million of capital calls to US fund-of-funds, the global secondary fund, and a direct fund (below the USD21.7 million funded in March). The company received USD14.2 million in distributions from US and international fund-of-funds and the global secondary fund during April, also below the USD20.5 million received during March, resulting in net negative cash flows of USD2.5 million.
Liquidity events continued across HVPE’s underlying portfolio during April 2011 with 47 transactions. Four underlying companies completed IPOs during the
month, three of which are venture-backed. Of the 43 portfolio companies that completed sale transactions during the month, 28 (65%) are venture-backed.
On 26 April 2011, HVPE announced that it would participate, along with HarbourVest-managed secondary funds, in a public offer for all bearer shares of Absolute Private Equity, Ltd. Absolute is an investment company incorporated in Switzerland and listed on SIX Swiss Exchange that primarily invests across various sectors of the private equity market. HVPE’s direct commitment to the transaction is expected to be 10% of the purchase price, which would represent an investment of USD38 million to USD75 million, depending on the results of the tender offer.