Digital 9 Infrastructure (DGI9) shares have tumbled to an all-time low after the two-year wind-down of the investment company received another setback with news that a previous £213m stake in UK broadcasting platform Arqiva was likely to be written off as part of its forthcoming 31 December valuation.

Shares in the former Triple Point managed fund dropped 0.8p, or 14.6%, to 4.9p, having crashed from a peak of 116p in September 2022.

In a statement DGI9 said it was the view of the board and InfraRed Capital Partners, which was appointed to manage the wind-down and disposal of assets, that the company’s equity interest in Arqiva was expected to fall below the value of the vendor loan note used to fund its acquisition from Canada Pension Plan Investment Board in October 2022.

The company said the highly leveraged 51.8% position in Arqiva was sensitive to changes in operating performance, contract renewals and regulatory decisions.

It said, “a nil valuation had been identified as a plausible downside scenario, and the deterioration in the draft long-term plan assumptions now places greater weight on this outcome”.

This follows the sale in November by Macquarie European Infrastructure fund of a 26.5% stake in Arqiva for £16.5m.

It added: “Notwithstanding this, there remains a credible pathway to value in certain scenarios, and D9 will continue to work actively with Arqiva’s management on initiatives aimed at outperforming the business plan, supporting capital‑structure optimisation, and progressing opportunities that may enhance valuation over time.”

The company will provide a further update and a net asset value (NAV) for 31 December on completion of its year‑end audit.

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