3i Group’s annual results for the year ended 31 March 2015 show the company performing well with NAV increasing by 14% to 396p per share (despite foreign exchange losses of 12p per share). Management report that all three businesses are performing well. The private equity portfolio saw realisations worth £831m, investment of £369m across four transactions and an overall investment return of £719m. Infrastructure provided a gross return of 20% – benefitting from a 25% total return on the investment in 3i Infrastructure plc. Debt Management raised £2.4bn AUM during the year, closing 6 CLOs and diversifying its offering through the €250m first close of the European Middle Market Loan Fund. 3i is proposing a final dividend of 14.0 pence per share, bringing the total dividend for the year ended 31 March 2015 to 20p per share (2014: 20p).
Management say they remain cautious about the current environment. Many financial markets are at or near all time highs and currencies are subject to increased volatility, in their opinion and so they are focusing on enhancing the value of the existing investment portfolio as well as pursuing investment opportunities if the strategic and financial case is strong.
III : A strong year for 3i