Quest for Growth. Press & Analyst Meeting. 25 April 2014

Transcription

1 Quest for Growth Press & Analyst Meeting 25 April

2 Agenda 2014 Q1 results and performance Quest for Growth Comments on quoted portfolio Comments on unquoted portfolio Questions and Answers 2

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4 2014 Q1 results and performance Quest for Growth Key figures: Return on equity per share after dividend distribution: + 2,8 % since 31 December 2013 Net Asset Value per share at March 31 st 2014: 9.82 after dividend pay out of 1.18 per share (December 31 st 2013: 10.87) Net profit for 2014 Q1: + 3,346,231 ( per share) against a profit of + 4,860,231 ( per share) for 2013 Q1 Share price at March 31 st 2014: 7.93 (December 31 st 2013: 8.21) Discount of the share price versus Net Asset Value: 19.2 % at March 31 st 2014 (24.4 % at December 31 st 2013) Dividend pay out of 1.18 per ordinary share (net dividend of 1,15 per ordinary share) at March 27 th

5 2014 Q1 results and performance Quest for Growth per ordinary shar overgedragen verliezen reserves 5

6 2014 Q1 results and performance Quest for Growth Added value per sector per share 6

7 2014 Q1 results and performance Quest for Growth Added value per asset class per share 7

8 Quest for Growth NAV Results from 1/01/2005 until 31/03/ % 2.8 % 22.4 % 1.8 % % 17.2 % % 26.8 % % % 8

9 Quest for Growth share price 3 year total shareholders return 9

10 Quest for Growth share price Discount to Net Asset Value: 19.2 % 60% 55% 50% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% Average discount of Belgian investment companies (Source: KBC Securities) Discount Quest for Growth 10

11 Quest for Growth share price Portfolio composition and market capitalisation at 31/03/

12 Distribution of the portfolio by sector at 31/03/2014 Cash & other net assets 1,1% Other sectors 6,6% Software & Services 15,9% Technology Hardware 9,2% Semiconductors 3,7% Health Care Equipment & Services 16,0% Funds & Diversified Companies 13,2% Pharma & Biotech 6,8% Materials 5,8% Electrical & Engineering 21,5% 12

13 Agenda 2014 Q1 results and performance Quest for Growth Comments on quoted portfolio Comments on unquoted portfolio Questions and Answers 13

14 Portfolio quoted Equity market environment 2014 Q1 with a mixed start but ending slightly positive Stock markets in Europe (STOXX 600), USA (S&P 500) & emerging markets (MSCI EM) in EUR source: Factset, Capricorn Venture Partners 14

15 Portfolio quoted Equity market environment Economic indicators still positive ISM Manufacturing Index & US recessions (NBER) IFO index source : ISM, NBER, IFO, Bloomberg, Capricorn Venture Partners 15

16 Portfolio quoted Equity market environment Valuations: 12 month forward P/E Europe (STOXX 600) and USA (S&P 500) - evolution 12 month forward P/E source: Factset, Capricorn Venture Partners 16

17 Portfolio quoted Equity market environment Valuations: some hypes? Stoxx Global 3D Printing (in USD) Nasdaq Biotechnology (in USD) 1 year return: +112% 1 year return: +48% source: Bloomberg, Capricorn Venture Partners 17

18 Portfolio quoted Transactions 2014 Q1 JANUARY FEBRUARY IN OUT INCREASE REDUCTION U-Blox Bertrandt Fresenius Nemetschek Sartorius-Vorzug UDG Healthcare FMC Corp Econocom Gerresheimer Pharmagest MARCH Arcadis Melexis UDG Healthcare 18

19 Portfolio quoted Transactions 2014 Q1: introduction FMC Corp Key figures & ratios Mkt. Cap. (m EUR) 7357 Leader in agricultural chemicals and biopolymers for health and nutrition Focus on technology-based, customer- driven, growth-oriented and non- cyclical activities Strong position in Latin America Excellent growth track-record and profitability levels P/E (12m fwd.) 16.2 EV/EBITDA (2014) 11.5 Dividend yield (2014) 0.7% EPS growth % EPS growth 07/14 16% Net debt/ebitda (2013) 1.5 ROE (2013) 33% 19

20 Portfolio quoted Transactions 2014 Q1: U-Blox sold 20

21 Portfolio quoted Top 10 holdings 21

22 Portfolio quoted Valuations: further increasing 12 month forward P/E of portfolio companies at 31/03/2014 source : Factset, Capricorn Venture Partners 22

23 Portfolio quoted Strong start in Q1 portfolio company returns in l.c., excl. trading positions (held < 3 m) source : Bloomberg, Capricorn Venture Partners, QfG quoted (e) is estimate excluding costs and cash, (I) = return since introduction, (O) return until removal from portfolio 23

24 Portfolio quoted Performance attribution 2014 Source: Factset, Capricorn Venture Partners 24

25 Agenda 2014 Q1 results and performance Quest for Growth Comments on quoted portfolio Comments on unquoted portfolio Questions and Answers 25

26 Portfolio unquoted Unquoted companies: ICT Unquoted companies: Health-tech Unquoted companies: Cleantech (coinvestments) Venture Funds: Capricorn Cleantech Fund Venture Funds: Capricorn Health-tech Fund Venture Funds: Capricorn ICT ARKIV Venture funds: Other funds 26

27 Portfolio unquoted Value adjustments not assigned to a specific company Total Financial Assets - Shares ,83% Depreciation unquoted companies ,19% Total Financial Assets Shares after depreciation ,64% In the unquoted portfolio value adjustments for a total of - 1,344,511 were booked in a separate line. These value adjustments were booked mainly out of fear that certain portfolio companies, almost in need of refinancing, will have to go to the market with a lower valuation because of the deteriorating economic situation and the more difficult funding climate that goes with it. 27

28 Portfolio unquoted Co investment of $ 1,031,250 in FRX Polymers 28

29 Portfolio unquoted Additional investment of 354,437 in Prosonix Draw down of the T4 tranche of 2.5 mio GBP since the cash position dropped below 500k GBP (the amount for Quest for Growth is 354,437 GBP) Mylan Licensing Agreement signed: 11 mio USD non-refundable upfront payment 50 mio USD in development milestones and 78 mio USD in sales related milestones 25% share of Mylan s gross profit (eventual infringement defence costs are deductible but capped at maximum of 50%) Mylan is responsible for all development costs except for Prosonix costs related to the mutual recognition procedure for approval in Europe (regulatory lead: Prosonix in Europe and Mylan in the US and ROW) Prosonix retains the right to commercialise the product in UK, Germany and the Netherlands semiexclusively with Mylan The importance of this deal goes far beyond the cash component since Mylan, being one of the main global players in the generics field represents a strong validation of the Prosonix technology. 29

30 Portfolio unquoted Capricorn Health-tech Fund: Mainstay Medical announced IPO 30

31 Financial calendar

32 Agenda 2014 Q1 results and performance Quest for Growth Comments on quoted portfolio Comments on unquoted portfolio Questions and Answers 32

33 Thank you for your attention! 33