In the first half of 2015, Private Equity Managers S.A. Group (PEManagers Group, Group) achieved a net profit of PLN 37.6 million, up 80% year-on-year. This means that the Group’s annual plan has been achieved at 73%.
In H1 2015, PEManagers Group generated a net profit of PLN 37.6 million (PLN 11.29 per share) and EBITDA of PLN 37.5 million (EBITDA margin of 66%). Its net assets under management increased to PLN 1,861 million compared with PLN 1,669 million at the end of 2014. The Group’s revenues were PLN 57.2 million (vs. PLN 27.7 million a year before), including: PLN 38.8 million of success fee for asset management and PLN 18.4 million of fixed management fee. The higher success fee, which is paid when the funds achieve a rate of return above a stated threshold, is an effect of the very strong investment results generated in the first half of 2015 by the following funds: MCI.EuroVentures 1.0 (rate of return of 5.9%), MCI.TechVentures 1.0 (12.4%) and MCI CreditVentures 2.0 (3.6%).
In the prospectus prepared for the purposes of the public offering of shares, the Group presented its financial performance projections for 2015. The financial plan envisages sales at PLN 74.5 million, EBITDA at PLN 56.7 million and net profit at PLN 51.8 million.
The table below presents the degree of achievement of the projections after the first half of 2015.
|Item (in PLN million)||Projection for 2015||Progress after H1 2015|
– We end the first half of the year with strong investment results, which has allowed us to maintain our long-term Internal Rate of Return (IRR) at a high level of nearly 24% – said Krzysztof Konopiński, CFO of Private Equity Managers S.A.
Since their inception until 30 June 2015, the funds managed by PEManagers Group, and formerly by MCI Management Group, generated IRR of 23.8% on full and partial exits.
On 24 July 2015, the company paid PLN 36.8 million in dividends for 2014. This meant PLN 12.04 paid on one share, translating into a dividend rate of 8.3% (for the current share price) and 10.9% (for the share price at the IPO).
– The investment results of our funds led to the robust financial performance of the entire Group. We do not see any threats to our annual profit target. In accordance with our strategy, we share our high profits with our shareholders and intend to ask the AGM for approving payout of the whole profit in dividends – said Cezary Smorszczewski, Management Board President of Private Equity Managers S.A.
Since the beginning of the year until publication of the H1 accounts, the funds managed by PEManagers Group invested more than PLN 300 m in 17 investment projects, 15 of which were new portfolio companies and 2 were participations in next investment rounds.
Further financing rounds with participation of the funds managed by the Group were conducted for the two companies:
|cleaning services marketplace|
|e-commerce/sales of baby care products|
At the end of H1 2015, 50% of the portfolio companies were registered outside of Poland.
The IPO of Private Equity Managers completed in March 2015 was a full success. All shares in the public offering were sold at the maximum price, and the demand for the shares from investors at subscription was several times higher than the offering size. The reduction rate in the retail tranche was 90.23%. 12.35% stake in the company was sold by MCI.EuroVentures 1.0., a sub-fund created within MCI.PrivateVentures FIZ. At the end of the first session on the main trading floor the share price went up by 19% to PLN 132.1, and currently it stands at more than PLN 135.