Trading Update

30 January 2009

ACP Capital Limited (the "Company": AIM: APL) today announces its unaudited portfolio value as at 31 December 2008, which shows an overall decline in value of 27.7% in the three months since 30 September 2008.

 

31 December 2008

30 September 2008

Portfolio assets

GBP’000s

GBP’000s

ACP Mezzanine Limited*

30,518

50,001

Other investments at fair value**

76,176

97,089

Loans and receivables

3,419

5,173

Total portfolio assets

110,113

152,263

For the purposes of this trading update, certain assets have been valued on the basis of an average of indicative prices received from market sources. Indicative prices do not necessarily reflect the realisable value of such investments.

Significant events affecting the Company’s asset value since 30th September 2008 include:

  • A cash distribution of 4.00 pence per share was paid to shareholders on 23 December 2008;
  • A fall in the value of the IFR Capital plc (“IFR”) equity holding from GBP 13.08 million to GBP 4.59 million as a result of the fall in the share price of IFR from 30 September 2008: 27.5 eurocents to 31 December 2008: 8.0 eurocents;
  • A revaluation of our investment in Leasecom Group SAS to EUR 20 million (30 September 2008: EUR 33.13 million) reflecting current market conditions;
  • Our investment in GCI Automotive Holding GmbH was sold on 15 January 2009 for circa EUR 3.75million (an initial sum of EUR 2.88 million together with two further payments of EUR 434,700 due on each of 30 June 2009 and 31 December 2009);
  • There has been a continuing decline since 30 September 2008 in indicative prices for structured investments and a fall in prices for quoted investments; and
  • Euro – Sterling exchange rates have moved from EUR 1.264 / GBP to EUR 1.046 / GBP between 30 September 2008 and 31 December 2008.  As at 31 December 2008 approximately GBP 107 million equivalent of portfolio assets were EUR denominated. The Company does not hedge its foreign currency positions.

The Company's Board of Directors has today approved a cash distribution of 4.5 pence per share, which will be made to record holders as at 13 February 2009 on 6 March 2009. This payment is conditional upon the receipt of the Company’s share of a cash distribution from ACP Mezzanine Limited announced today.

It is the Company's intention to issue its final results and audited financial statements for the year ended 31st December 2008 in the week commencing 23 March 2009.

* The Company owns 54.17% of ACP Mezzanine Limited (“ACP Mezzanine”: AIM: ACPM); valued on the basis of the bid price at 31 December 2008: 25 eurocents (30 September 2008: 49.5 eurocents). ACP Mezzanine has recently announced its NAV per share of 32.4 eurocents. As at 31 December 2007 the Company’s investment in ACP Mezzanine was included in the accounts at market value. As a result of the transactions in June 2008, the Company acquired a controlling interest of 54.17% in ACP Mezzanine. As the holding is now in excess of 50%, ACP Mezzanine Limited will be accounted for as a subsidiary within the consolidated results of the ACP Capital group for the year ended 31 December 2008.

** Included within “other investments at fair value” is GBP 4.59 million in respect of the Company’s equity investment in IFR Capital plc (“IFR”: AIM: IFR) together with preferred equity in IFR totalling GBP 12.78 million and debt tranches in IFR totalling GBP 32.54 million.

Enquiries

  • Hugh Field, Collins Stewart Europe, +44 (0) 207 523 8350 (Nominated Adviser)
  • Tim McCall/James Longfield, Hogarth Partnership, +44 (0) 207 357 9477