17 July 2024
HVPE AGM
STATEMENT
Positive
outlook; Confident of distributions improving
HarbourVest Global Private Equity Limited
("HVPE" or the "Company"), a FTSE 250 investment company with
global exposure to private companies, managed by HarbourVest
Partners, announces a business update ahead of its Annual General
Meeting (AGM) at 1:00PM today.
NAV remains
resilient; Long-term outperformance of public
markets
· As announced on 24 June 2024,
estimated NAV per share was $51.37 (£40.32); representing an
increase of 3.4% in US dollar terms year to
date1
· Introduction of a revised and
expedited valuation process with respect to the HarbourVest funds,
which improves the timeliness of NAV per share updates
· Over the 10 years to 31 May
2024, HVPE delivered growth in NAV per share of 248%, while the
FTSE All-World Total Return (FTSE AW TR) Index returned 137%
(USD)
· Reflects HVPE's proven
investment strategy, the benefits of diversification and the
quality of the underlying portfolio.
New and
extended credit facility
· In June, HVPE secured a new
and extended revolving credit facility on highly
competitive terms
· Size increase from $800m to
$1.2bn, providing additional working capital headroom and enabling
greater flexibility in capital allocation decisions, to the benefit
of shareholders.
Distribution
pool and capital allocation update
· Distribution Pool initiated 1
February 2024, ring fencing capital for shareholder
distributions
· Total amount of cash
allocated to the Distribution Pool across the two calendar years
2024 and 2025 projected to be between $150m and $250m
· As at 30 June 2024 the
balance in the Distribution Pool was $40m. Contributions to the
Pool since 1 February totalled $79.1m
· Since the Board recommenced
buybacks in June, HVPE has been active buying back shares on 19 out
of 25 trading days2
· Since share buybacks
originally began in September 2022, 3.5m shares have been
repurchased for a total consideration of
$99m2.
Positive
outlook
·
Investment and macroeconomic environment continue to
improve
·
Exits remains above the 12-month average, with IPOs and
M&A activity expected to continue recovering through
2024.
1 Financial year 31st January 2024 estimated NAV per
share to 31 May 2024 estimated NAV per share.
2 As at 10th July 2024.
Fully
Independent Board
· With effect from the July
2024 AGM, HVPE's Board will become fully independent of the
Investment Manager when HarbourVest Managing Director Carolina
Espinal steps down as a Director
· The Company will continue to
benefit from Carolina's extensive private equity investment
experience as both Carolina Espinal and Richard Hickman joined
HVPE's Investment Committee with effect from 1 February
2024.
Ed Warner,
Chair of HVPE, said:
"The Board has made significant progress on a
number of fronts over the past year, most notably the initiation of
our Distribution Pool to improve future returns to shareholders. We
are pleased that our Net Asset Value has remained resilient in
challenging equity markets and the share price discount has started
to narrow. We hope this trend persists as shareholders
benefit from the actions we have taken to optimise returns
throughout the cycle.
We are confident that the environment in which
we operate will continue to improve, with increasing exit activity
and distribution levels as the year progresses."
The HVPE team is here to discuss any
questions you may have, so please do not hesitate to contact
Richard Hickman or Stephanie Hocking using the contact details
below.
- ENDS
-
LEI: X
Enquiries:
Notes to
Editors:
About HarbourVest Global Private Equity
Limited:
HarbourVest Global Private Equity
Limited ("HVPE" or the "Company") is a Guernsey-incorporated,
closed-end investment company which is listed on the Main Market of
the London Stock Exchange and is a constituent of the FTSE 250
index. HVPE is designed to offer shareholders long-term capital
appreciation by investing in a private equity portfolio diversified
by geography, stage of investment, vintage year, and industry. The
Company invests in and alongside HarbourVest-managed funds which
focus on primary fund commitments, secondary investments and direct
co-investments in operating companies. HVPE's investment manager is
HarbourVest Advisers L.P., an affiliate of HarbourVest Partners,
LLC, an independent, global private markets asset manager with over
40 years of experience.
About HarbourVest Partners, LLC:
HarbourVest is an independent,
global private markets firm with 40 years of experience and more
than $125 billion of assets under management as of December 31,
2023. Our interwoven platform provides clients access to global
primary funds, secondary transactions, direct co-investments, real
assets and infrastructure, and private credit. Our strengths extend
across strategies, enabled by our team of more than 1,000
employees, including more than 230 investment professionals across
Asia, Europe, and the Americas. Across our private markets
platform, our team has committed more than $58 billion to
newly-formed funds, completed over $50 billion in secondary
purchases, and invested over $37 billion in directly operating
companies. We partner strategically and plan our offerings
innovatively to provide our clients with access, insight, and
global opportunities.
This announcement is for information purposes only and does
not constitute or form part of any offer to issue or sell, or the
solicitation of an offer to acquire, purchase or subscribe for, any
securities in any jurisdiction and should not be relied upon in
connection with any decision to subscribe for or acquire any
Shares. In particular, this announcement does not constitute
or form part of any offer to issue or sell, or the solicitation of
an offer to acquire, purchase or subscribe for, any securities in
the United States or to US Persons (as defined in Regulation S
under the US Securities Act of 1933, as amended ("US Persons")). Neither this
announcement nor any copy of it may be taken, released, published
or distributed, directly or indirectly to US Persons or in or into
the United States (including its territories and possessions),
Canada, Australia or Japan, or any jurisdiction where such action
would be unlawful. Accordingly, recipients represent that they are
able to receive this announcement without contravention of any
applicable legal or regulatory restrictions in the jurisdiction in
which they reside or conduct business. No recipient may distribute,
or make available, this announcement (directly or indirectly) to
any other person. Recipients of this announcement should inform
themselves about and observe any applicable legal requirements in
their jurisdictions.
The Shares have not been and will not be registered under the
US Securities Act of 1933, as amended (the "Securities Act") or with any securities
regulatory authority of any state or other jurisdiction of the
United States and, accordingly, may not be offered, sold, resold,
transferred, delivered or distributed, directly or indirectly,
within the United States or to US Persons. In addition, the
Company is not registered under the US Investment Company Act of
1940, as amended (the "Investment
Company Act") and shareholders of the Company will not have
the protections of that act. There will be no public offer of
the Shares in the United States or to US Persons.
This announcement has been prepared by the Company and its
investment manager, HarbourVest Advisers L.P. (the "Investment Manager"). No liability
whatsoever (whether in negligence or otherwise) arising directly or
indirectly from the use of this announcement is accepted and no
representation, warranty or undertaking, express or implied, is or
will be made by the Company, the Investment Manager or any of their
respective directors, officers, employees, advisers,
representatives or other agents ("Agents") for any information or any of
the opinions contained herein or for any errors, omissions or
misstatements. None of the Investment Manager nor any of their
respective Agents makes or has been authorised to make any
representation or warranties (express or implied) in relation to
the Company or as to the truth, accuracy or completeness of this
announcement, or any other written or oral statement provided. In
particular, no representation or warranty is given as to the
achievement or reasonableness of, and no reliance should be placed
on any projections, targets, estimates or forecasts contained in
this announcement and nothing in this announcement is or should be
relied on as a promise or representation as to the
future.
Other than as required by applicable laws, the Company gives
no undertaking to update this announcement or any additional
information, or to correct any inaccuracies in it which may become
apparent and the distribution of this announcement. The information
contained in this announcement is given at the date of its
publication and is subject to updating, revision and amendment. The
contents of this announcement have not been approved by any
competent regulatory or supervisory authority.
This announcement includes statements that are, or may be
deemed to be, "forward looking statements". These forward
looking statements can be identified by the use of forward looking
terminology, including the terms "believes", "projects",
"estimates", "anticipates", "expects", "intends", "plans", "goal",
"target", "aim", "may", "will", "would", "could", "should" or
"continue" or, in each case, their negative or other variations or
comparable terminology. These forward looking statements include
all matters that are not historical facts and include statements
regarding the intentions, beliefs or current expectations of the
Company. By their nature, forward looking statements involve
risks and uncertainties because they relate to events and depend on
circumstances that may or may not occur in the future and may be
beyond the Company's ability to control or predict. Forward looking
statements are not guarantees of future performance. More detailed
information on the potential factors which could affect the
financial results of the Company is contained in the Company's
public filings and reports.
All investments are subject to risk. Past performance is no
guarantee of future returns. Prospective investors are advised to
seek expert legal, financial, tax and other professional advice
before making any investment decision. The value of investments may
fluctuate. Results achieved in the past are no guarantee of future
results.
This announcement is issued by the Company, whose registered
address is BNP Paribas House, St Julian's Avenue, St Peter
Port, Guernsey, GY1 1WA
©
2024 HarbourVest Global Private Equity Limited. All rights
reserved.