Private Equity News & Analysis

CapMan results stable

The Finnish private equity manager says performance in 2002 will largely depend on a number of exits that are currently being evaluated.

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Finnish venture capital company CapMan Capital Management has announced a slight increase in its net profit for 2001 to E21.7m, from E20.1m in 2000. Operating profit decreased slightly, to E22.1m in 2001 from E24.3m the previous year.

The company’s performance was boosted by the disposal of nearly 3 million Sampo plc shares in May. The value of the sale was approximately E30m and the effect on the 2001 profit about E18m. Funds managed by CapMan made 7 new investments and 9 substantial follow-on investments in portfolio companies in 2001, investing E89.4m in total.

In the company’s annual report to investors, CapMan says that its result for 2002 will depend largely on significant exits from portfolio companies. Exits are being evaluated and negotiated in several portfolio companies. “CapMan will continue with its investment strategy in the Nordic countries and the main focus of investments is mid-sized buy-outs and technology investments in IT and telecommunications companies”, the firm said.

In autumn 2001 CapMan began to raise a new Nordic equity fund, CapMan Equity VII. By the first closing at the end of January, the fund had E166m in commitments. Substantial additional commitments are expected and the final size of the fund will be determined by the end of June 2002.