HarbourVest Global Private Equity (HVPE) has announced its estimated NAV per share as at 31 December 2022 at US$48.04 (£39.76); up 0.2% in US dollar terms over the month (which reflects the currency movement). HVPE says that, for this estimate, 7% of its portfolio is valued at 31 December 2022, this being the public companies in the portfolio, while the balance of 93% is valued at 30 September 2022. HVPE says that capital calls and distributions were elevated in December (as in prior years), with a net US$24m invested. Its strategic asset allocation targets also remain unchanged following the 2022 annual review.
New commitments
During December 2022, HVPE made US$325m of new commitments to HarbourVest funds. This included US$225m to a global secondary fund, US$75m to a US-focused credit fund, and US$25m to a global multi-strategy fund of funds. These new commitments, alongside foreign exchange rate movements, and minus capital funded, contributed to a net increase of US$194m in HVPE’s Investment Pipeline (unfunded commitments), taking it to US$2.8bn at 31 December 2022.
Investment
During December 2022, HVPE invested US$132m into HarbourVest funds (compared to US$28m in November 2022). The largest individual investment during the month was made to a 2021 vintage US-focused buyout fund of funds.
Realisations
HVPE received distributions of US$108m from HarbourVest funds during December 2022 (compared to US$27m in November 2022). The largest source of proceeds came from a 2015 vintage US-focused buyout fund of funds. During December 2022, there were a total of 16 M&A transactions and IPOs across HVPE’s underlying portfolio, compared to November’s total of 21, and a last 12-month average of 21. These were broken down into 14 M&A transactions and two IPOs.
Balance Sheet and Credit Facility
As at 31 December 2022, HVPE had the full US$800m available on its credit facility. Borrowing at the HarbourVest fund level amounted to US$491m, a decrease of US$13m from the previous month. HVPE’s cash and cash equivalents (US$205m) and available credit (US$800m) totalled US$1.0bn.