BMO Private Equity Trust PLC today announces its unaudited financial results for the year ended 31 December 2020.
Financial Highlights
- Net Asset Value (NAV) of 486.17p per Ordinary Share reflecting a total return for the year of 22.7%. NAV total return for the fourth quarter was 26.1%
- Share price total return for the year of -14.2% for Ordinary Shares, with the share price discount widening to 36.8% from 8.8% at 31 December 2019
- Total quarterly dividends of 16.13p per Ordinary Share, representing a dividend yield of 5.2% based on the year-end share price
Portfolio Highlights
- Portfolio company Dotmatics has entered into an agreement for its sale to Insightful Science. The transaction values the Trust’s position at £37.7 million, or 51p per share. This compares with the last published valuation (as at 30 September 2020) of £9.5 million, or 13p per share
- During the period, the Company invested £36.1 million via funds or as co-investments, with realisations and associated income totalling £37.6 million
- IT software and services (20.6%), healthcare equipment and services (12.8%) and pharmaceuticals, biotechnology and life sciences (6.8%), the largest sector weightings in the portfolio, have been little impacted or even enhanced by the pandemic and should position the Trust to benefit going forwards
Chairman Mark Tennant commented: “The tone coming from our investment partners has improved greatly since the advent of lockdown a year ago and our portfolio companies have come through the worst period with their business models and long term plans largely intact.
“This has only been possible because the private equity investment model allows investors to intervene with a powerful combination of managerial assistance and capital to support our portfolio companies. Looking to the future, our Company’s portfolio is well placed to provide future capital growth and an above average dividend yield for shareholders.”
Fund manager Hamish Mair commented: “Having conducted a triaging review during the first few months of the pandemic, the portfolio has performed extremely well, with the year-end valuation showing a clear rebound.
“The Company has entered 2021 with a portfolio that has proved highly resilient during the pandemic and we are confident that the Trust’s exposure to sectors such as pharmaceuticals, biotechnology and life sciences and IT software and services – clear beneficiaries of the pandemic – should position us well to benefit in future.”
