Northern Investors Company PLC.
2 MARCH 2016
NORTHERN INVESTORS COMPANY PLC
PORTFOLIO UPDATE AND PROPOSED TENDER OFFER
Northern Investors Company PLC ("Northern Investors") announces the sale of its investment in Kitwave One Limited ("Kitwave") to the Kitwave management team, supported by private equity funds managed by Pricoa Capital Group and Allstate Investments.
Northern Investors has received initial cash proceeds of £8.14 million for its holding of ordinary shares and redeemable loan stock in Kitwave. The directors' valuation of the investment in Kitwave for the purposes of calculating the unaudited net asset value as at 31 December 2015, which was announced on 17 February 2016, was £7.62 million. The uplift in Northern Investors' net assets resulting from the realisation is therefore £0.52 million, equivalent to approximately 10.6 pence per share based on the 4,900,000 shares currently in issue.
Northern Investors may, subject to future performance and tax claims, become entitled to receive further sale proceeds of up to £1.13 million over the period to December 2017. These proceeds will be recognised in the financial statements as and when received.
In accordance with Northern Investors' policy, adopted by shareholders in July 2011, of realising its investment portfolio and returning funds to shareholders, the directors intend as previously announced to make a further distribution to shareholders by way of a tender offer. Taking account of available cash resources and known expenditure commitments, the directors currently estimate that the amount to be distributed will be not less than £13 million. It is expected that a circular giving details of the tender offer will be published on or around 8 March 2016 and that the ensuing re-purchase and cancellation of shares will be completed by 31 March 2016.
For further information, please contact:
Northern Investors Company PLC
Nigel Guy/Christopher Mellor 0191 244 6000
Stifel Nicolaus Europe Limited
Neil Winward/Mark Bloomfield/Gaudi le Roux 020 7710 7600
Neither the contents of the NVM Private Equity LLP website nor the contents of any website accessible from hyperlinks on the NVM Private Equity LLP website (or any other website) is incorporated into, or forms part of, this announcement.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: Northern Investors Co PLC via Globenewswire