Hg Capital Share Discussion Threads

[rambutan2] 15/5/2012 15:50

Earlier this month is was reported that they'd put Mercury Pharma (Goldshield) up for sale.

[kimboy2] 15/5/2012 15:10

Thank you very much for the write up and the efforts you have made.

Was there any chat about potential sales. I had got the impression that one or two were virtually done deals a little while ago

[jaws6] 15/5/2012 14:17

Tks mark, good info.

[david77] 15/5/2012 14:13

Thanks Mark

[marben100] 15/5/2012 13:03

I attended HGT's AGM and have written an extensive report on the company and the AGM here: (sorry, but you'll need to be a member of ShareSoc to read the report - details below)

I've been an investor since 2005 and it seems like a bargain at the current historically large discount to NAV. Especially so, as the company is in the early stages of the HgCapital 6 investment phase, its investee companies are growing well, despite macro issues, and good returns can be expected when the trust moves to the realisation phase. NB According to HgCapital's CEO, the average gain on realisation vs book value has been 56% historically.

If you're not already a member you can join ShareSoc as an associate member FOC, here:

Sorry not to just make the report publicly available, but considering that attending the meeting and writing the report has taken well over a day of my time, I don't think it's too much to ask that readers support a non-profit organisation that campaigns for shareholder rights, in return. I am a director of ShareSoc on a voluntary, unpaid basis.

Regards,

Mark

[aishah] 03/5/2012 22:44

Qundis investment announced today

[jaws6] 05/4/2012 08:41

RNS looks good today

[jaws6] 26/3/2012 10:34

RNS on divi out

[damanko] 16/3/2012 09:22

Overview from today's results:

Financial Highlights

§ Sales and EBITDA growth from top 20 buyout investments of +13% and +10% respectively over last 12 months to 31 December 2011.

§ Valuation multiple of 10.2x EBITDA (Dec 10: 9.7x) and debt multiple of 4.0x EBITDA (Dec 10: 3.6x) as at 31 December 2011.

§ Total available liquid resources were £94m (27% of NAV) with outstanding commitments of £195m (56% of NAV).

§ +15.7% p.a. 10-year compound annual growth rate of the share price on a total return basis vs. 4.8% p.a. from the FTSE All-Share Index on a total return basis to 31 December 2011.



Operational Highlights

§ £87m deployed over the period, principally in five new buyout investments.

§ £62m of cash proceeds from 2011 realisations; full exits achieved in aggregate at a 56% uplift to 31 December 2010 book value.

§ The Trust was chosen, for the seventh consecutive year, as Private Equity Investment Trust of the Year in the 'Investment Week' awards.



Events since 31 December 2011

§ Proposed final dividend for the year of 10.0 pence per ordinary share to be paid on 10 May 2012, subject to shareholder approval.

§ NAV per share at 29 February 2012 was 1,080.2p (diluted) and 1,102.7p (basic); movement from December mainly due to foreign exchange fluctuations.



Outlook

§ 80% of the balance sheet invested in buyouts of which c. 80% is in companies with a low exposure to the weak macro-economic cycle and only 20% is in companies where ratings and earnings are sensitive to the economy.

§ Market leading businesses, with low gearing in growth segments, well placed for platform builds.

§ Interest in a number of our businesses may result in successful realisations over the next 12 months.

§ New investment will continue to be highly selective by only investing in businesses that meet our thematic criteria and can be bought for value.

§ Owning a portfolio of quality companies run by talented managers should build significant shareholder value over the medium-term

[woracle] 30/1/2012 20:13

Thanks KB2. So if it fetches $700, there would be no uplift in the NAV from a sale.

[kimboy2] 30/1/2012 15:39

I think that they owned 8% orginally and then there was a re-financing when HGT in effect sold 50%.

That would leave them with 4%. The $700m price tag works out at the book value which is perhaps where they got it from.

I think SHLhas been doing pretty well recently and I think that the valuation increased from about £14m to £18m for HGT's share. With a bit of luck we should be well north of $700m.

At present the £18m valuation represents about 56p of HGT's value.

[woracle] 30/1/2012 15:22

Nice..SHL valued at $700m. What % does the trust own ?

[rambutan2] 30/1/2012 03:16

re above, yes they got it, and at present second largest holding.

Sale of SHL being mooted in the FT, it currently the fourth largest holding in the port at £18.7m...

[mangal] 24/9/2011 16:26

It's a bargain if they get it:

[ianbrewster] 07/6/2011 09:15

citywire's 'Fund of The Week'

[damanko] 04/4/2011 20:02

Aye.

Very strange how far this, RIT & Pantheon seem so far under the radar of most private investors. The way the trio have performed over the past 12-18 months, a few more posts might have been expected.

Could be that the majority of (private) holders are (dare I say.....) more mature than the average poster, and have little interest in financial bulletin boards.

[pip_uk] 04/4/2011 16:15

This is going great guns, sub shares up a treat today.
Worth holding for the long term I think if HGT goes on performing like today.

[damanko] 07/12/2010 13:15

In case that doesn't come out clearly, key figures (for me...):

Share price performance:

5 years + 84.2%

10 years + 248.9%

Not such a bad life for HG Capital long term holders, bearing in mind the dotcom boom & complete bust, 2003 downturn, and the credit crunch/crisis of the past couple of years.

[damanko] 07/12/2010 12:15

From today's RNS:

HgCapital Trust plc

All information is at 30 November 2010 and unaudited.

Performance at month end with net income reinvested

One Three One Three Five Ten
month months year years years years

Net asset value 1.3% 3.4% 12.3% 14.2% 84.9% 186.9%
Share price 1.0% 16.9% 14.5% 25.2% 84.2% 248.9%
FTSE All-Share
Index -2.3% 6.8% 11.5% -2.3% 24.5% 20.7%

[ianbrewster] 15/11/2010 09:16

A nice uplift on the carrying value.

HgCapital has agreed to sell its investment in Pulse Staffing.

HgCapital Trust plc, the listed investment trust which invests in all HgCapital's deals alongside its institutional clients, will immediately realise estimated cash proceeds of £29.8 million.

The total proceeds to the Trust compare to a carrying value of £22.1 million in the Net Asset Value (NAV) of the Trust at 31 October 2010, an uplift of £7.7 million (24.6 pence per share).

Following completion of this and our other recently announced transactions, the estimated NAV of HgCapital Trust plc will be £325.0 million (1,044.9 pence per share basic or 1,029.1 pence per share fully diluted*) and liquid resources are estimated to be £80.0 million (24.6% of the estimated NAV).

[phbatbjco] 04/11/2010 12:39

Thanks Pip - very interesting share this one, I think

[david77] 01/11/2010 14:15

Thanks pip - phbatjco - search for HGTS at the top of this thread.

Level 2 currently 91/95

[pip_uk] 01/11/2010 14:14

Don`t have level 2 sorry.
Just put in the ticker HGTS and you will find info on them.

[phbatbjco] 01/11/2010 14:11

Bit thick here what are the subs? Level 2?