Standard Life European Private Equity Trust, the listed trust of SL Capital Partners, has both bought and sold stakes in Charterhouse funds as part of a portfolio rebalancing exercise.
In February 2013, it sold 50 percent of its original commitment of €30 million to Charterhouse Capital Partners VIII, “given the significant exposure to the fund and its underlying investments”, the trust said in its half-year results.
The fund interest was sold at an 11 percent discount to the 30 September 2012 net asset value of the fund, selling for £15.6 million.
A month earlier, the trust bought a commitment of €7 million to Charterhouse Capital Partners IX, a €4 billion fund it was not able to commit to when it was raised in 2009. The fund interest was acquired for £2.8 million at a 5 percent discount to the 30 June 2012 valuation of the fund, according to the report.
SL Capital declined to comment beyond the statement.
During the period, the listed trust also made a €20 million fund commitment to Advent Global Private Equity VII, a €8.5 billion 2012 vintage, €30 million to IK VIII, which is currently in the market attempting to raise €1.7 billion and $35 million to TowerBrook Investors IV, which closed earlier this year on its hard-cap of $3.5 billion. At 31 March 2013, Standard Life Trust had £177.3 million of outstanding commitments.
Additionally, the trust funded £21.1 million of drawdowns and received £28.5 million of distributions during the period, which generated a net cash inflow from investment activities of £7.4 million. The distributions generated net realised gains and income of £14.1 million.
Standard Life Trust also realised a book loss of £6.5 million on the start of the liquidation process for two older funds, Alchemy Investment Plan and the Candover 1997 Fund, where all of the underlying investments had been realised. The book loss had previously been provided for in the trust’s valuation of these fund interests.
At 31 March 2013, the trust had a cash balance of £21.5 million and outstanding commitments of £177.3 million.