4 July 2024
For
immediate release
The
information contained in this announcement is restricted and is not
for publication, release or distribution in the United States of
America, Canada, Australia (other than to persons who are both
wholesale clients and professional or sophisticated investors in
Australia), Japan, the Republic of South Africa or any other
jurisdiction where its release, publication or distribution is or
may be unlawful.
Pantheon International
Plc
("PIP" or the
"Company")
Performance Update at 31 May
2024
Performance Update at 31 May 2024
490.5p
NAV per share
+0.2%
NAV per share growth for the month
£2.3bn
Net asset value
+77%
Total NAV per share return (5Y)*
£1.5bn
Market capitalisation
+47%
Total shareholder return (5Y)*
£11.8m
Net portfolio cash flow**
3.9x
Financing cover***
Month to 31 May 2024
PIP announced an unaudited net asset
value ("NAV") per share of 490.5p as at 31 May 2024, an increase of
0.8p (+0.2%) from the NAV per share as at 30 April 2024.
In the month to 31 May 2024,
valuation gains* were +6.7p (+1.4%), investment income* added +0.2p
(+0.0%), foreign exchange movements* were -6.1p (-1.2%), share
buybacks added +0.8p (+0.2%) and expenses and taxes**** were -0.8p
(-0.2%).
PIP's valuation policy for private
equity funds is based on the latest valuations reported by the
managers of the funds in which PIP has holdings. In the case of
PIP's valuation as at 31 May 2024, 9% of reported valuations are
dated 31 May 2024 or later, 86% are dated 31 March 2024, 2% are
dated 31 December 2023 and 3% are dated 30 September 2023. Of the
9% of valuations dated 31 May 2024 or later, 6.2% reflect the
mark-to-market fair value adjustment for PIP's listed company
holdings.
At 31 May 2024, PIP's private equity
assets stood at £2,499m, whilst net available cash balances^ were
£16m. The Asset Linked Note^^ ("ALN") outstanding as at 31 May 2024
amounted to £30m. Undrawn commitments to investments stood at £789m
as at 31 May 2024, calculated using exchange rates at that date.
PIP maintains a five-year £500m^^^ multi-tranche, multi-currency
revolving credit facility. As at 31 May 2024, £83m was drawn down
under the credit facility. PIP had $150m (£118m GBP equivalent as
at month end) of private placement notes outstanding, resulting in
a net debt to NAV ratio of 8.1%.^^^^
New Commitments
PIP made £47.3m of new commitments
during the month, which was comprised of one co-investment (£9.7m)
and four primary investments (£37.6m). These included:
·
A £16.5m primary commitment to a North American
growth capital fund which will invest mainly in software and
internet businesses.
·
A £12.3m primary commitment to a global growth
capital fund investing primarily in growth and late-stage private
companies.
·
An additional £9.7m co-investment commitment
alongside Hg to Visma, a European-based provider of
mission-critical enterprise software to businesses and public
organisations.
Share Buybacks and Capital
Allocation Policy
PIP invested £8.0m in share buybacks
during the month, acquiring 2,433,450 shares at a weighted average
price of 327.3p per share. This price represented an average
discount of 33.0% to the prevailing NAV per share at the time of
the transactions. PIP has completed £196.7m of the £200m allocated
to share buybacks for the financial year to 31 May 2024. Since the
period end, the remaining balance has been invested in share
buybacks.
The adjusted net portfolio cash
flow, which is calculated according to PIP's Capital Allocation
Policy, was slightly negative (-£4m) during the last twelve months.
Nevertheless, given the prevailing share price discount to NAV, the
PIP Board has allocated a further £5m to share buybacks. The share
repurchase transactions are expected to be completed by the end of
September 2024.
Year to 31 May 2024
Performance
The unaudited NAV per share of
490.5p as at 31 May 2024 is an increase of 28.1p (+6.1%) relative
to the NAV per share as at 31 May 2023. Valuation gains* added
23.2p (+5.0%), investment income* added +3.2p (+0.7%), foreign
exchange movements* were -10.7p (-2.3%), share buybacks added
+21.8p (+4.7%) and expenses and taxes**** were -9.4p
(-2.0%).
Portfolio Net Cash Flow
PIP received distributions of
£192.9m relative to £156.0m of calls from existing commitments to
private equity funds. Therefore, PIP's portfolio generated net cash
of £36.9m over the year.
New Commitments
PIP made 16 new investments during
the year to 31 May 2024, amounting to £152.5m in new commitments.
These commitments were to nine primary funds (£98.8m), six
co-investments (£42.1m) and one manager-led secondary
(£11.6m).
Share Buybacks
During the year, PIP invested
£196.7m in share buybacks, acquiring 64,279,846 shares at a
weighted average price of 306.0p per share. This price represented
an average discount of 35.2% to the prevailing NAV per share at the
time of the transactions.
Capital Allocation Policy
In May 2024, PIP announced details
of its Capital Allocation Policy, which came into effect on 1 June
2024.
Financing
In October 2023, PIP agreed a new
£500m equivalent credit facility and further announced in January
2024 a private placement of $150m of loan notes.
* Based on the change in the NAV per
share and ordinary share price over the period.
** Figures are stated net of
movements associated with the ALN share of the reference portfolio.
Valuation movement includes the mark-to-market fair value
adjustment of listed company holdings.
***Ratio of
net available cash, portfolio value and undrawn credit facility to
outstanding commitments. Outstanding commitments relating to funds
outside their investment period (>13 years old) were excluded
from the calculation as there is a low likelihood of these being
drawn. This amounted to £41.7m as at 31 May 2024.
**** Operating expenses, financing
costs and withholding taxes on investment distributions.
^Net available cash calculated as
cash and net current assets / (liabilities) less undistributed net
cashflows associated with the ALN.
^^Unlisted 10-year note issued on 31
October 2017 whose cost and repayments are linked to a reference
portfolio consisting of the Company's older vintage
funds.
^^^PIP maintains a £500m
multi-currency credit facility. The overall credit facility
comprises facilities of US$487.7m and €115.7m and had a sterling
equivalent value of £481.7m as at 31 May 2024. As at 31 May 2024,
PIP had drawn down £83.3m of the credit facility.
^^^^Net debt calculated as
borrowings (excluding the outstanding balance of the Asset Linked
Note) less net available cash. The ALN is not considered in the
calculation of gross borrowings or the loan-to-value ratio, as
defined in PIP's credit facility and note agreements. If the ALN is
included, net debt to NAV was 9.4% as at 31 May 2024.
Annualised Performance as at 31 May
2024^^^^
|
|
1 Year (%p.a.)
|
3 Years
(% p.a.)
|
5 Years
(% p.a.)
|
10 Years
(% p.a.)
|
Since Inception
(% p.a.)
|
|
NAV per share
|
6.1%
|
12.5%
|
12.1%
|
13.5%
|
11.9%
|
|
Ordinary share price
|
19.9%
|
6.2%
|
7.9%
|
11.1%
|
10.9%
|
|
FTSE All-Share TR
|
15.4%
|
7.9%
|
6.5%
|
5.9%
|
7.6%
|
|
MSCI World (£) TR
|
22.2%
|
11.2%
|
13.1%
|
12.8%
|
8.6%
|
^^^^PIP was
launched on 18 September 1987. The performance figures for PIP
assume reinvestment of dividends and capital.
Discrete Performance as at 31 May
2024
|
|
31/05/2023- 31/05/2024
|
31/05/2022- 31/05/2023
|
31/05/2021- 31/05/2022
|
31/05/2020- 31/05/2021
|
31/05/2019- 31/05/2020
|
|
NAV per share
|
6.1%
|
2.4%
|
31.0%
|
19.6%
|
4.0%
|
|
Ordinary share price
|
19.9%
|
-8.0%
|
8.6%
|
31.7%
|
-7.2%
|
|
FTSE All-Share TR
|
15.4%
|
0.4%
|
8.3%
|
23.1%
|
-11.2%
|
|
MSCI World (£) TR
|
22.2%
|
4.3%
|
7.8%
|
22.9%
|
9.5%
|
Largest Holdings
Largest companies by value as at 29
February 2024
|
|
Country
|
Sector
|
% of
portfolio
|
|
Asurion
|
USA
|
Financials
|
1.3%
|
|
Kaseya
|
USA
|
Information Technology
|
1.2%
|
|
Action
|
Netherlands
|
Consumer
|
1.1%
|
|
Smile Doctors
|
USA
|
Healthcare
|
0.9%
|
|
Valantic
|
Germany
|
Information Technology
|
0.8%
|
Largest managers by value as at 31
May 2024
|
|
Region
|
% of
portfolio
|
|
Insight Partners
|
USA
|
7.1%
|
|
Index Ventures
|
Global
|
3.6%
|
|
HgCapital
|
Europe
|
3.6%
|
|
Providence Equity
Partners
|
USA
|
3.1%
|
|
Parthenon Capital
|
USA
|
2.5%
|
Foreign Exchange Exposure
At 31 May 2024, the value of the
private equity investment assets stood at £2,499m. Of the private
equity investment assets at PIP's holding level, 76% were
represented by funds reporting values denominated in US dollars,
19% denominated in euros, 4% denominated in sterling and 1%
denominated in other currencies.
Of the 76% of investment assets
denominated in US dollars, approximately 8% (expressed as a
proportion of PIP's total portfolio) are invested in funds
investing mainly in Europe and approximately 6% (expressed as a
proportion of PIP's total portfolio) in funds investing mainly in
Asia.
As at 31 May 2024, the GBP/USD
exchange rate was 1.2731 and the GBP/EUR exchange rate was
1.1727.
Monthly Report
The May newsletter can be accessed
on PIP's website at www.piplc.com in the Investor Relations section under the heading
"Newsletters".
This announcement contains inside
information.
Ends
LEI: 2138001B3CE5S5PEE928
For more information please
visit PIP's website at www.piplc.com or contact:
Pantheon
Helen Steers / Charlotte Morris /
Vicki Bradley
Tel: +44 20 3356 1800
Follow us on LinkedIn: https://www.linkedin.com/company/pantheon-international-plc
NOTES
PIP
PIP is a listed FTSE 250
private equity investment trust, overseen by
an independent Board of Directors and managed by Pantheon, one
of the leading private equity investment managers globally. PIP
offers investors a liquid, differentiated entry point to the
excellent growth potential of global private equity, with access to
the primary, secondary and co-investment opportunities of some of
the best managers in the world. The Company has a track record of
NAV outperformance over the long term and manages risk
strategically through diversification and rigorous selection based
on Pantheon's extensive experience and international platform, and
robust investment due diligence and decision-making
processes.
Pantheon
PIP is managed and advised by
Pantheon, a specialist global private markets investor. Pantheon
has been at the forefront of private markets investing for more
than 40 years, earning a reputation for providing innovative
solutions covering the full lifecycle of investments, across
private equity, real assets and private credit. The firm has
partnered with more than 650 clients, with approximately $65bn in
discretionary assets under management (as at 31 December
2023).
Important
Information
A
copy of this announcement will be available on the Company's
website at www.piplc.com. Neither the content of the Company's website, nor the content
on any website accessible from hyperlinks on its website for any
other website, is incorporated into, or forms part of, this
announcement nor, unless previously published by means of a
recognised information service, should any such content be relied
upon in reaching a decision as to whether or not to acquire,
continue to hold, or dispose of, securities in the
Company.
John Singer CBE
Chair, Pantheon International Plc
Broadwalk House, Southernhay West, Exeter, Devon EX1
1TS