NB Private Equity Partners Limited Nb Private Equity: First 2019 Semi-annual Dividend And Update On Strategic Actions
January 08 2019 - 1:00AM
UK Regulatory
TIDMNBPE
THE INFORMATION CONTAINED HEREIN IS NOT FOR RELEASE, PUBLICATION OR
DISTRIBUTION IN OR INTO AUSTRALIA, CANADA, ITALY, DENMARK, JAPAN, THE
UNITED STATES, OR TO ANY NATIONAL OF SUCH JURISDICTIONS
NBPE Announces the First 2019 Semi-annual Dividend and Update on
Strategic Actions
8 January 2019
NB Private Equity Partners Limited ("NBPE" or the "Company") today
announces:
-- A first 2019 dividend of $0.28 per share
-- Entry into new share buyback agreement, to be managed by Jefferies
International
-- The sale of 14 of its legacy third-party private equity funds totalling
$19.4 million of proceeds, taking ongoing fund investments to below 5% of
private equity fair value
First 2019 Dividend
NBPE today declares its first 2019 semi-annual dividend payment on the
Company's Ordinary Shares of $0.28 per Ordinary Share, to be paid on 28
February 2019. On an annualised basis, this dividend payment represents
a dividend yield of 4.3% based on the London Stock Exchange closing
price of GBP10.20 ($12.98 at GBP/USD exchange rate of $1.273) on 4
January 2019. In line with its long term dividend policy of targeting an
annualised dividend yield of 3.0% or greater on NAV, this payment
represents a yield on 30 November 2018 estimated NAV, of 3.1%.
While the Company declares dividends in US Dollars, Shareholders will
receive Sterling at the prevailing rate at the time of currency
conversion, unless an election to receive dividends in US Dollars is
made on forms which are available on NBPE's website prior to the
currency election date listed below. If an investor has previously
elected to receive US Dollars, that election will be used unless
changed. Investors may also participate in a dividend re-investment plan
(forms for which are available on NBPE's website) if they wish to
increase their shareholdings as against receiving dividends.
Distribution amount: $0.28 cents per Share
=================================================== =====================
Ex-dividend date: 31 January 2019
=================================================== =====================
Dividend record date: 1 February 2019
=================================================== =====================
Final day for Currency Election: 1 February 2019
=================================================== =====================
Final day for Dividend Re-investment Plan Election: 8 February 2019
=================================================== =====================
Payment date: 28 February 2019
=================================================== =====================
Entry into New Share Buyback Agreement
NBPE has a long history of returning capital to shareholders. Since it
began paying dividends in 2013, NBPE has returned $140 million to
shareholders (not including the first 2019 dividend detailed above). In
addition, between November 2010 and October 2012, NBPE repurchased
2,269,028 Class A Shares. These Class A Shares were repurchased at a
weighted average discount to NAV of 32% and a total cost of $16.5
million. From July 2008 to May 2009, under the liquidity enhancement
program, NBPE repurchased 3,150,408 Class A Shares at a weighted average
discount to NAV of 69% and a total cost of $9.2 million. Class A Shares
repurchased under the liquidity enhancement program are held in
treasury. Over the course of the buybacks, total NAV per share accretion
was $0.71 per share.
Continuing this principle, the board of directors of NBPE has approved a
new share buyback policy. In addition, a new share buyback agreement
with Jefferies International Limited ("Jefferies") has been finalised
and signed. These actions will allow Jefferies at its discretion to
repurchase NBPE Class A Shares on behalf of NBPE based on multiple
factors in the buyback policy, including the absolute level of discount,
NBPE's discount compared with peers and broader equity market movements,
among other factors. The board believes that under the criteria it has
set, any share buybacks will be an optimal use of NBPE's capital for the
benefit of shareholders, as well as being immediately accretive to net
asset value.
Purchases of Class A Shares may be made only in accordance with Guernsey
law, the Disclosure Guidance and Transparency Rules and the authority
granted by Shareholders at the Company's Annual General Meeting on 5
November 2018. Under the FCA Listing Rules, the maximum price that may
be paid by the Company on the repurchase of any Class A Shares pursuant
to a general authority is 105 per cent. of the average of the middle
market quotations for the Class A Shares for the five business days
immediately preceding the date of purchase or, if higher, that
stipulated by regulatory technical standards adopted by the European
Commission pursuant to Article 5(6) of the Market Abuse Regulation (EU)
No. 596/2014.
A buy-back of Class A Shares pursuant to the buyback policy on any
trading day may represent a significant proportion of the daily trading
volume in the Class A Shares on the Main Market of the London Stock
Exchange plc (and could exceed the 25% limit of the average daily
trading volume of the preceding 20 business days as referred to in the
Commission Delegated Regulation (EU) No. 2016/1052 on buy-back
programmes).
Any purchase of Class A Shares by the Company will be notified by an
announcement through a Regulatory Information Service by no later than
7.30 a.m. on the following business day. Class A Shares repurchased by
the Company will be cancelled.
Shareholders should note that the purchase of Class A Shares by the
Company is based on a number of factors and subject to the satisfaction
of certain conditions set out in the buyback policy. Accordingly, no
expectation or reliance should be placed on the Directors exercising
such discretion on any one or more occasions.
Sale of Legacy Fund Positions
As announced on 3 September 2018, NBPE has been engaged in a review and
sales process of its legacy fund interests. The sales process was
focused on maximising value to NBPE shareholders measured through both
absolute value and the opportunity cost of holding vs. selling. All fund
investments were analysed and a decision was made on a case by case
basis as to the best way to maximise value. Following this process, NBPE
formally engaged a leading secondary private equity broker to explore
the sale of the portion of its third party legacy fund positions which
it is believed were most favourable to divest. Today we are pleased to
announce the sale of 14 of NBPE's legacy fund interests. In aggregate,
the 14 fund interests were sold at 86% of their reported 30 June 2018
net asset value, and the sale will generate a total of approximately
$19.4 million of proceeds on a cash flow adjusted basis. At closing,
NBPE received proceeds of approximately $9.7 million, with the remaining
50% of the proceeds subject to a 12 month deferral. The sales value of
these funds is reflected in the most recent NAV update, as of 30
November 2018 and hence there is not expected to be any further NAV
adjustment from these sales in the 31 December NAV statements.
We are pleased with the outcome of this process, the continuing
reduction in the size of the funds portfolio and the fact that over 95%
of the portfolio is now in direct investments. Based on the November
monthly NAV update, adjusted for the sale of the 14 legacy funds, NBPE's
reported fair value in remaining funds was $49.7 million, representing
approximately 5% of the adjusted total private equity fair value. This
compares to the 31st December 2017 reported fair value in legacy funds
of $107.6 million (11% of private equity fair value).
Following the sale, NBPE has 19 remaining legacy fund interests (of
which the largest five represent 73% of the total legacy fund fair
value) which we expect to continue to liquidate over the next 12 -- 24
months.
For further information, please contact:
NBPE Investor Relations +1 214 647 9593
KL Communications +44 (0) 20 3603 2803
Charles Gorman nbpe@kl-communications.com
https://www.globenewswire.com/Tracker?data=QRqnsfGgftANsQ1XyhQrWLlqE8rUbvBPCkxV1avXEJuvS-vEHBJmCxfT7P37wmLyKo8Hca42Opavj-Jr3uoL3y1nOr6uiAnWw91JiV0tun_ZpcMRjrB3dLMXrAVqJULH
ABOUT NB PRIVATE EQUITY PARTNERS LIMITED
NBPE is a closed-end private equity investment company with class A
ordinary shares admitted to trading on the Premium Segment of the Main
Market of the London Stock Exchange. NBPE has 2022 and 2024 ZDP Shares
admitted to trading on the Specialist Fund Segment of the Main Market of
the London Stock Exchange. NBPE holds a diversified portfolio of direct
equity investments, direct income investments and fund investments
selected by the NB Alternatives group of Neuberger Berman, diversified
across private equity asset class, geography, industry, vintage year,
and sponsor.
LEI number: 213800UJH93NH8IOFQ77
ABOUT NEUBERGER BERMAN
Neuberger Berman, founded in 1939, is a private, independent,
employee-owned investment manager. The firm manages a range of
strategies--including equity, fixed income, quantitative and multi-asset
class, private equity and hedge funds--on behalf of institutions,
advisors and individual investors globally. With offices in 20 countries,
Neuberger Berman's team is more than 2,000 professionals. For four
consecutive years, the company has been named first or second in
Pensions & Investments Best Places to Work in Money Management survey
(among those with 1,000 employees or more). Tenured, stable and
long-term in focus, the firm fosters an investment culture of
fundamental research and independent thinking. It manages $315 billion
in client assets as of September 30, 2018. For more information, please
visit our website at
https://www.globenewswire.com/Tracker?data=KzxHt2b1L4tnZvfHtySvsn-06CfStJmkEiH32vMaM4SgnISJw-PIHY3dVjjyp_YM4cWKaF5Q8CtL3GbqHzxzlw==
www.nb.com.
This press release appears as a matter of record only and does not
constitute an offer to sell or a solicitation of an offer to purchase
any security.
NBPE is established as a closed-end investment company domiciled in
Guernsey. NBPE has received the necessary consent of the Guernsey
Financial Services Commission. All investments are subject to risk. Past
performance is no guarantee of future returns. The value of investments
may fluctuate. Results achieved in the past are no guarantee of future
results. This document is not intended to constitute legal, tax or
accounting advice or investment recommendations. Prospective investors
are advised to seek expert legal, financial, tax and other professional
advice before making any investment decision. Statements contained in
this document that are not historical facts are based on current
expectations, estimates, projections, opinions and beliefs of NBPE's
investment manager. Such statements involve known and unknown risks,
uncertainties and other factors, and undue reliance should not be placed
thereon. Additionally, this document contains "forward-looking
statements." Actual events or results or the actual performance of NBPE
may differ materially from those reflected or contemplated in such
targets or forward-looking statements.
(END) Dow Jones Newswires
January 08, 2019 02:00 ET (07:00 GMT)
Copyright (c) 2019 Dow Jones & Company, Inc.
Nb Private Equity Partners (LSE:NBPE)
Historical Stock Chart
From Apr 2024 to May 2024
Nb Private Equity Partners (LSE:NBPE)
Historical Stock Chart
From May 2023 to May 2024