Capital for Colleagues plc - Quarterly Investment Update

Capital for Colleagues plc - Quarterly Investment Update

PR Newswire

London, January 21

Capital for Colleagues plc / EPIC: CFCP / Market: AQSE / Sector: Investment

24 January 2022

CAPITAL FOR COLLEAGUES PLC

('Capital for Colleagues', 'C4C' or the 'Company')

QUARTERLY INVESTMENT UPDATE

Capital for Colleagues, the investment vehicle focused on opportunities in the Employee Owned Business ('EOB') sector, announces an investment update in respect of the quarter ended 30 November 2021.

Key Statistics for the quarter:

• Portfolio comprised of 14 unquoted EOBs at the end of the quarter (31 August 2021: 15)
• Net Asset Value ('NAV') of £10,953,799 (31 August 2021: £10,764,556)
• NAV per share increased to 70.94 pence in the quarter (31 August 2021: 69.71 pence per share)

Key Developments in the quarter:

The Company sold its investment in portfolio company Office for Public Management Limited ('OPML'), for cash consideration of £469,000. The Company invested £250,000 in OPML in 2016 and realised its investment to leave OPML as a 100% EOB.

Further information on the Company's investment portfolio is set out below.

INVESTMENTS

As at 30 November 2021, the Company's portfolio of investments was valued at £8,433,691 (including loans) and comprised 14 companies operating across a range of sectors, as set out below:

Industrials (value: £3,211,830; 38.08% of Portfolio)
Construction and Materials Ecomerchant Natural Building Materials Limited Employee Owners Group Limited Merkko Group Limited TPS Investment Holdings Limited Industrial Transportation Place 2 Place Logistics Limited			Support Services Flow Control Company Limited Hire and Supplies Limited The Security Awareness Group Limited
Leisure & Travel (value: £396,749; 4.71% of Portfolio) Recreational Services South Cerney Outdoor Limited Media (value: £474,166; 5.62% of Portfolio)
Exhibition Centres The Homebuilding Centre (Holdings) Limited
Technology (value: £4,350,946; 51.59% of Portfolio)
Software & Computer Services 2C Services Limited Bright Ascension Limited Computer Application Services Limited Craft Prospect Limited

The loans and investments made by the Company are aimed at delivering equity-like returns. Each loan or investment is tailored to the individual investee company's operating performance and specific working capital needs.

The Directors believe that the EOBs in the Company's portfolio currently generate total turnover of around £52.8 million per annum and support approximately 345 jobs.

Total Investments (including short-term loans) as at 30 November 2021

Cost: £5,901,826

Valuation (including capitalised costs): £8,433,691

BASIS OF VALUATION

Each of the investments is included at the Directors' assessment of fair value, in accordance with International Private Equity and Venture Capital Guidelines.

Account is taken of any potential taxation liability in respect of the increase in value of investments on a quarterly basis.

CHANGE OF REGISTERED OFFICE

The Company's Registered Office has been changed to: Ground Floor Office A, No1 The Design Centre, Roman Way, Crusader Park, Warminster, Wiltshire, BA12 8SP.

The Directors of the Company are responsible for the contents of this announcement.

**ENDS**

For further information, please visit www.capitalforcolleagues.com or contact:

CAPITAL FOR COLLEAGUES PLC Richard Bailey, Chairman Alistair Currie, Chief Executive	01985 201 980
PETERHOUSE CAPITAL LIMITED Mark Anwyl	020 7469 0930

Capital for Colleagues

Capital for Colleagues is an investment company focused on the UK EOB sector. The Company has a proven management team, with a wide network of contacts and affiliates, as well as established access to investment opportunities, enabling the Company to execute its strategy and capitalise on EOB-focused investment opportunities. In addition, the Company educates and assists companies that are looking to launch employee ownership schemes, advising them, amongst other things, on how to secure investment and achieve their objectives.

Market Abuse Regulation (MAR) Disclosure

This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation EU 596/2014 as it forms part of retained EU law (as defined in the European Union (Withdrawal) Act 2018).