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NB Private Equity: 2H Dividend of $0.47 Declared & June Monthly NAV Update

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THE INFORMATION CONTAINED HEREIN IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN OR INTO AUSTRALIA, CANADA, ITALY, DENMARK, JAPAN, THE UNITED STATES, OR TO ANY NATIONAL OF SUCH JURISDICTIONS

2H Dividend of $0.47 Declared & June Monthly NAV Update

19 July 2022

NB Private Equity Partners (NBPE), the $1.4bn listed private equity investment company managed by Neuberger Berman, today releases its 30 June 2022 monthly NAV estimate and announces its 2H 2022 dividend.

Highlights (at 30 June 2022)

  • NAV per share of $28.86 (£23.76)

  • 2% decrease in the month driven by changes in valuations of quoted holdings

  • Declaration of 2H dividend of $0.47 per share, in-line with the February 2022 dividend; an annualised yield of 3.3% on NAV and 5.5% on the share price

  • $11 million of proceeds received during the month and $371 million of cash and undrawn credit line available

At 30 June 2022*

YTD

1 year

3 years

5 years

10 years

NAV TR (USD)

(7.4%)

3.7%

65.1%

103.7%

247.5%

MSCI World TR (USD)

(20.3%)

(13.9%)

24.3%

48.5%

161.8%

 

 

 

 

 

 

Share price TR (GBP)

(18.2%)

10.6%

48.2%

71.7%

360.2%

FTSE All-Share TR (GBP)

(4.6%)

1.6%

7.4%

17.8%

94.6%

*Reflects cumulative returns over the time periods shown and are not annualised.

Business review (at 30 June 2022)

NAV decrease of 2% during June 2022

  • 1.9% NAV decline ($26 million) during the month of June as a result of a decline in value of quoted holdings

  • 0.6% NAV decrease ($8 million) from negative FX movements, primarily attributable to changes in the EUR/USD rate

  • The monthly NAV estimate does not incorporate any Q2 private valuation information; Q2 valuation information will be incorporated as received in future monthly NAV updates. NBPE expects to issue its interim financial report in September 2022

$119 million of announced realisations in 2022

  • 2022 year to date announced realisations of $119 milllion1

    • Five full or partial sales announced in 2022 include: the remaining assets of Telxius, the announced full sales of Leaseplan and Omega Environmental Technologies, the partial realisation of MHS Global and the sale of an additional unannounced transaction which was signed in June but has not yet closed2

    • These five announced full or partial sales are expected to generate a 2.9x gross multiple of capital and an 8% uplift from 31 December 2021 valuations

Investment Activity

  • No new investment activity in June

  • NBPE is well placed to make new investments and is continuing to evaluate new opportunities as the market develops

Robust Liquidity

  • $11 million of proceeds received during June

  • $371 million of available liquidity ($71 million cash3, $300 million of undrawn credit line)

  • NBPE converted US Dollars equivalent to approximately £16 million in early July. Combined with May’s conversion, NBPE holds £48 million of its cash in sterling, representing 75% of the 2022 ZDP final capital entitlement

2H 2022 Dividend

  • Semi-annual dividend of $0.47 per share, in line with the February 2022 dividend

  • Annualised dividend yield on NAV is 3.3% and annualised share price yield is 5.5% based on the closing share price of 1,440p on 15 July 2022 and current FX rates

Distribution amount:

$0.47 per Share

Ex-dividend date:

28 July 2022

Dividend record date:

29 July 2022

Final day for Currency Election:

12 August 2022

Final day for Dividend Re-investment Plan Election:

12 August 2022

Payment date:

31 August 2022

While the Company declares dividends in US Dollars, Shareholders will receive Sterling dividends at the prevailing rate at the time of currency conversion, unless an election to receive dividends in US Dollars is made on forms which are available on NBPE’s website prior to the currency election date listed below. If an investor has previously elected to receive US Dollars, that election will be used unless changed. Investors may also participate in a dividend re-investment plan (forms for which are available on NBPE’s website) if they wish to increase their shareholdings instead of receiving cash dividends.

Portfolio Valuation

The fair value of NBPE’s portfolio as of 30 June 2022 was based on the following information:

  • 16% of the portfolio was valued as of 30 June 2022

    • 13% in public securities

    • 3% in private direct investments

  • 84% of the portfolio was valued as of 31 March 2022

    • 83% in private direct investments

    • 1% in private funds

For further information, please contact:

NBPE Investor Relations          +1 214 647 9593

Kaso Legg Communications    +44 (0)20 3995 6673

Charles Gorman                        nbpe@kl-communications.com

Supplementary Information

Company Name

Vintage

Lead Sponsor

Sector

Fair Value

% of FV

Constellation Automotive

2019

TDR Capital

Business Services

79.0

5.5%

Action

2020

3i

Consumer / E-commerce

51.7

3.6%

Agiliti (NYSE: AGTI)

2019

THL

Healthcare

51.3

3.6%

USI

2017

KKR

Financial Services

42.0

2.9%

Material Handling Systems

2017

THL

Industrials / Industrial
Technology

41.2

2.9%

Kroll

2020

Further Global / Stone Point

Financial Services

41.1

2.9%

AutoStore (OB.AUTO)

2019

THL

Industrials / Industrial Technology

35.0

2.4%

Excelitas

2017

AEA Investors

Technology / IT

32.7

2.3%

Cotiviti

2018

Veritas Capital

Healthcare

32.4

2.3%

BeyondTrust

2018

Francisco Partners

Technology / IT

32.2

2.2%

Marquee Brands

2014

Neuberger Berman

Consumer / E-commerce

32.0

2.2%

Business Services Company*

2017

Not Disclosed

Business Services

31.4

2.2%

Advisor Group

2019

Reverence Capital

Financial Services

31.4

2.2%

Auctane

2021

Thoma Bravo

Technology / IT

30.0

2.1%

GFL (NYSE: GFL)

2018

BC Partners

Business Services

29.3

2.0%

Branded Toy Company*

2017

Not Disclosed

Consumer / E-commerce

26.5

1.8%

Stubhub

2020

Neuberger Berman

Consumer / E-commerce

26.4

1.8%

Engineering

2016

NB Renaissance / Bain Capital

Technology / IT

24.2

1.7%

True Potential

2022

Cinven

Financial Services

23.9

1.7%

Petsmart / Chewy (NYSE: CHWY)

2015

BC Partners

Consumer / E-commerce

22.6

1.6%

Branded Cities Network

2017

Shamrock Capital

Communications / Media

21.4

1.5%

Chemical Guys

2021

AEA Investors

Consumer / E-commerce

21.1

1.5%

Staples

2017

Sycamore Partners

Business Services

20.7

1.4%

Bylight

2017

Sagewind Partners

Technology / IT

20.5

1.4%

Solenis

2021

Platinum Equity

Industrials

19.8

1.4%

Monroe Engingeering

2021

AEA Investors

Industrials

19.8

1.4%

Accedian

2017

Bridge Growth Partners

Technology / IT

18.5

1.3%

Addison Group

2021

Trilantic Capital Partners

Business Services

18.1

1.3%

Telxius

2017

KKR

Communications / Media

17.8

1.2%

Peraton

2021

Veritas Capital

Technology / IT

17.1

1.2%

Total Top 30 Investments

 

 

 

                      $911.1

63.6%

*Undisclosed company due to confidentiality provisions.

Geography

% of Portfolio

North America

74%

Europe

23%

Asia / Rest of World

3%

Total Portfolio

100%

 

 

Industry

% of Portfolio

Tech, Media & Telecom

22%

Consumer / E-commerce

20%

Industrials / Industrial Technology

14%

Business Services

14%

Financial Services

12%

Healthcare

10%

Other

7%

Energy

1%

Total Portfolio

100%

 

 

Vintage Year

% of Portfolio

2014 & Earlier

4%

2015

4%

2016

8%

2017

24%

2018

20%

2019

17%

2020

10%

2021

11%

2022

2%

Total Portfolio

100%

About NB Private Equity Partners Limited
NBPE invests in direct private equity investments alongside market leading private equity firms globally. NB Alternatives Advisers LLC (the “Investment Manager”), an indirect wholly owned subsidiary of Neuberger Berman Group LLC, is responsible for sourcing, execution and management of NBPE. The vast majority of direct investments are made with no management fee / no carried interest payable to third-party GPs, offering greater fee efficiency than other listed private equity companies. NBPE seeks capital appreciation through growth in net asset value over time while paying a bi-annual dividend.

LEI number: 213800UJH93NH8IOFQ77

About Neuberger Berman
Neuberger Berman, founded in 1939, is a private, independent, employee-owned investment manager. The firm manages a range of strategies—including equity, fixed income, quantitative and multi-asset class, private equity, real estate and hedge funds—on behalf of institutions, advisors and individual investors globally. With offices in 25 countries, Neuberger Berman’s diverse team has over 2,500 professionals. For eight consecutive years, the company has been named first or second in Pensions & Investments Best Places to Work in Money Management survey (among those with 1,000 employees or more). In 2020, the PRI named Neuberger Berman a Leader, a designation awarded to fewer than 1% of investment firms for excellence in Environmental, Social and Governance (ESG) practices. The PRI also awarded Neuberger Berman an A+ in every eligible category for our approach to ESG integration across asset classes. The firm manages $447 billion in client assets as of March 31, 2022. For more information, please visit our website at www.nb.com.

This press release appears as a matter of record only and does not constitute an offer to sell or a solicitation of an offer to purchase any security. NBPE is established as a closed-end investment company domiciled in Guernsey. NBPE has received the necessary consent of the Guernsey Financial Services Commission. The value of investments may fluctuate. Results achieved in the past are no guarantee of future results. This document is not intended to constitute legal, tax or accounting advice or investment recommendations. Prospective investors are advised to seek expert legal, financial, tax and other professional advice before making any investment decision. Statements contained in this document that are not historical facts are based on current expectations, estimates, projections, opinions and beliefs of NBPE's investment manager. Such statements involve known and unknown risks, uncertainties and other factors, and undue reliance should not be placed thereon. Additionally, this document contains "forward-looking statements." Actual events or results or the actual performance of NBPE may differ materially from those reflected or contemplated in such targets or forward-looking statements.


1 $67 million of cash from realisations received through 30 June 2022, of which $17 million was attributable to a sale announced in 2021, but received in 2022. Including the realisation signed in June 2022, NBPE expects total additional cash proceeds of $68 million, which would result in $119 million of total realisations in 2022.
2 Pending realisations are subject to customary closing conditions. No assurances can be given the transactions ultimately close.

3 Includes £31.8m of cash converted to USD at the month-end exchange rate.


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