Global private equity funds had a strong year, boosting returns for investors in the Pantheon International investment trust, its latest annual report has said.
Pantheon International Plc (PIP), which invests in global private equity funds, issued its annual report to end May 2018, citing a year of strong investment returns, a rise in the net asset value per share and a boost to the share price.
One highlight of the year was the consolidation of ordinary and redeemable shares into a single enlarged class of ordinary shares, which led to entry into the FTSE 250 index.
The company’s ordinary share price increased by 12.1 per cent to 2,010.0p over the period, while the discount dropped by 1 per cent to 17 per cent.
Net Asset Value (per share) rose 10.3 per cent to 2,414.8p, while net assets over the latest reporting period were slightly down to £1,307m from £1,388 in the previous 12 months. The change in gross assets being partly offset by the effects of Pantheon issuing an Asset Linked Note.
The annual report reveals assets in the portfolio delivered underlying (pre-FX) returns of 14.7 per cent, while distributions received by the end of May amounted to 3280m.
Once distributions attributable to the Asset Linked Note were excluded, this equated to 26 per cent of opening equity assets. After funding £86m of calls, net cash flow from the portfolio reached £194m.
Pantheon’s report reveals it ploughed £256m into new investment commitments during the year to 31 May 2018, of which £139m was funded at the time of purchase.
Sir Laurie Magnus, chairman of Pantheon International, said: “PIP has had a milestone year. It celebrated its 30 year anniversary, simplified its capital structure and entered the FTSE 250 index. PIP also issued an Asset Linked Note, which had the effect of de-emphasising the older assets in its portfolio and is expected to boost NAV per share.
“The board believes the continued active management of PIP’s portfolio, through Pantheon’s well-established platform, provides an attractive means of maximising long-term capital growth for shareholders.”