JZ Capital Partners releases its annual results to 28th February 2018 – JZ Capital Partners (JZCP), which invests in US and European micro-cap companies and US real estate, announced its annual results for the twelve-month period ended 28 February 2018.
Results and Portfolio Highlights
- NAV of $837.6 million, down 1.4% on the previous year
- NAV per share of $9.98, from $10.12 the previous year
- Total investments of $96.5 million, including: Felix Storch, ABTB (Taco Bell franchises) and properties in Brooklyn, New York and South Florida.
- Realisation proceeds of $133.7 million, primarily through the sale of Factor Energia, Fidor Bank, K2 Towers and Neilsen-Kellerman.
The company points out in its statement that the positive uplifts to NAV from realisations over the past year were offset by pre-development and carrying costs in its real estate portfolio. This is something the company is looking to address
Current portfolio
As of 28 February 2018, the portfolio comprised:
US micro-cap: 21 businesses including four ‘verticals’ and 12 co-investments, across nine industries.
European micro-cap: 17 companies across six industries and seven countries
US real estateo: 59 properties across five major assemblages in New York and South Florida all in various stages of (re)/development
- JZCP made two significant post-period realisations (March 2018), both above net asset value: Paragon Water Systems and Bolder Healthcare Solutions
- Current and post-period realisations provide approximately $250 million[1] (including escrows and distributions) in gross proceeds to JZCP
Outlook
- The balance sheet of the company remains strong with a healthy pipeline of realisation and investment opportunities over the next 12 months
- There is a renewed focus on rebalancing the company’s debt maturity profile over the course of the next fiscal year.
- Discussions are underway with potential institutional joint venture partners to deleverage the real estate portfolio.
JZCP : JZ Capital Partners releases its annual results to 28th February 2018