Crystal Amber reports on a good year – The activist fund, Crystal Amber (CRS) has delivered its full annual report for the year ending 30 June 2018.
Positive performance
The NAV per share rose by 19.7% over the reporting period. NAV total return for the year was 22.8%. This compares well when compared with the performance of the reference benchmark, the Numis Small and Mid-cap Companies Index, which returned 8.2%.
Amongst the key contributors to performance were FairFX Group and STV Group . In February, Fund’s put options, which were in place to protect the portfolio from equity market declines and increased volatility contributed positively to performance . Over the year, these contributed £2.7 million to NAV growth.
In addition, the manager sold and their by took £8.3 million profit in Ocado. The manager also booked profits of £7.6 million on Hurricane Energy and £3.8 million on NCC Group. Total realised gains of £26.6 million (£26.1 million after FX losses) for the year.
During the year, the manager took significant positions in De La Rue, Woodford Patient Capital Trust and Cenkos.
The share buy-back programme was maintained over the year, with average discount to month end NAV through the year of 3.0%.
More on Crystal Amber
Crystal Amber is an activist fund taking stakes in undervalued companies and taking action to enhance value. The Fund originates ideas from its screening processes and its network of contacts, including its shareholders. Companies are valued with focus on their replacement value, cash generation ability and balance sheet strength. During the process, the Fund’s goal is to examine the company both ‘as it is’ and under the lens of ‘as it could be’ to maximise shareholder value. Investments are normally made after an initial engagement, which in some cases may have been preceded by the purchase of a modest position in the company, to allow the Investment Adviser to meet the company as a shareholder. Engagement includes dialogue with the company chairman and management, and normally also several non-executive directors, as we build a network of knowledge around our holdings. Site visits are undertaken to deepen our research and, where appropriate, independent research is commissioned. Investee company annual general meetings are often attended to maintain close contact with the board and other stakeholders
CRS : Crystal Amber reports on a good year