CT Private Equity Trust (CTPE) has announced its unaudited results for the year ended 31 December 2024, posting a share price total return of 10.9% and a NAV total return of 4.6%. Realisations surged by 76% year-on-year to £108.6m, signalling a recovery in exit activity after a muted period for private markets. CTPE’s performance fee arrangements contain a hurdle rate, calculated over rolling three-year periods, of an IRR of 8% per annum. The annual IRR of the NAV for the three-year period ended 31 December 2024 was 7.7% and, consequently, a performance fee is not payable in respect of 2024.
The NAV finished the year at 706.03p, while the share price closed at 488.00p, leaving the discount at 30.9%, down from 33.4% at the end of 2023. The trust declared total dividends of 28.04p for the year, offering a yield of 5.7% on the year-end share price, continuing a decade-long run of dividend growth, with £146m returned to shareholders since 2013 (CTPE says that this represents a ten-year compound annual growth rate of 10%).
The dividend remains a central pillar of the trust’s capital allocation strategy. A quarterly payment of 7.01p is due on 30 April 2025, and the policy will be subject to a shareholder vote at the upcoming AGM on 29 May.
Despite a challenging macro backdrop, the portfolio was resilient, with the trust reporting valuation gains of £37.6m (6.2%) before FX and £28.4m (4.7%) after currency movements. The largest uplifts came from ATEC, Weird Fish, and Utimaco, while write-downs were primarily in consumer-facing and office-dependent holdings still recovering post-Covid.
Realisations were a standout feature, with strong exits including:
- Jollyes, sold to TDR Capital, returning 4.2x cost and 27% IRR;
- Coretrax, returned 1.7x cost and 11% IRR;
- ATEC, a specialist insurance broker, delivering a solid gain across multiple fund exposures;
- Several strong exits from the Bencis V fund, including Kooi (13.9x cost), Vecos (7.2x), and Tech Tribes (7.2x).
New investments totalled £58.7m, focused on lower mid-market opportunities across the UK, Europe, and North America. These included co-investments in Accounts IQ, Breeze Group, and MedSpa, alongside commitments to five new funds, such as August Equity VI, Inflexion Enterprise Fund VI, and ARCHIMED MED Rise.
The trust repurchased 1.25m shares at 460p during the year, representing 1.7% of the issued share capital (ex-treasury), as part of its active capital allocation policy. Net debt stood at £76.5m, equating to 13.2% gearing, with ample liquidity and borrowing headroom following an expanded facility with RBSI and State Street.
Looking ahead, the trust remains optimistic. With interest rates and inflation stabilising and capital markets gradually reopening, the environment appears supportive for further recovery in realisations and valuations. That said, management remains cautious amid ongoing geopolitical uncertainty and concentrated public market valuations.
Backed by a strong long-term track record, including a five-year NAV total return of 105.9%, the trust continues to deliver a compelling mix of growth and income, earning it recognition as a Next Generation Dividend Hero by the AIC.
With a diversified portfolio and proven ability to navigate turbulent markets, CT Private Equity Trust enters 2025 well-positioned to capture upside as confidence returns to private markets.
