Register Log-in Investor Type

News

Oakley Capital Investments freed up significant cash in 2020

Oakley Capital Investments freed up significant cash in 2020 – Oakley Capital Investments has announced results for the year ended 31 December 2020. It generated a return on NAV of 18% for the year. The chairman highlights the contribution of an online private university company, Career Partner Group (CPG), which added 34 pence to the NAV per share in the period. Dividends totalled 4.5p for the period.

Eight deals were completed, including four bolt-ons, which resulted in a total look-through investment for the trust of £152m. Exits and refinancings included two significant realisations of investments, in Inspired and WebPros, from which the company received proceeds totalling £341m. Notably, the weighted average uplift to NAV on disposals was 44%. [This underscores a message that we have been trying to convey in recent months. Private equity investments tend to be valued conservatively and so, even when it looks like they are trading close to asset value, they might still offer significant hidden value.] Outstanding loan notes with Time Out and Daisy were repaid, and a direct equity stake in Inspired was realised. In addition, all adviser management and performance fees have been removed from current direct investments and the interest rate on the remaining debt position in North Sails has been increased from a blended rate of 8% to 10%.

At year end, the company had no leverage and held cash on the balance sheet of £223m, 31% of NAV. The company made a €129m commitment to the latest Oakley Capital fund – Oakley Capital Origin Fund. This brings the company’s total outstanding commitments to the Oakley Funds to £534m. It expects that this money will be drawn down over the next five years.

OCI : Oakley Capital Investments freed up significant cash in 2020

Leave a Reply

Your email address will not be published. Required fields are marked *

Please review our cookie, privacy & data protection and terms and conditions policies and, if you accept, please select your place of residence and whether you are a private or professional investor.

You live in…

You are a…