3 May 2013:
Niko Haavisto, CEO, comments on the events during the review period and CapMan’s prospects:
”We achieved important milestones in our business in the first months of 2013. In March, we established the CapMan Nordic Real Estate and CapMan Russia II funds, which provide a good foundation for the future development of our operations. The timing of the first closings coupled with certain one-time expenses impacted the profitability of the Management Company business during the quarter. Management fees are determined based on fund size, and fundraising for our new funds continues. As investors value established fund managers in an uncertain economy, we are confident that our more than 20 years of experience becomes a significant competitive advantage in this environment.
Our funds have been active on the exit front despite a weak M&A market in the beginning of the year. Our turnover increased from the comparable period last year as our funds made a complete exit from MQ Retail AB. In April, our funds agreed to exit Cardinal Foods completely with excellent returns, and the carried interest totalling MEUR 1.5 for CapMan is accounted for as the transaction closes. Our funds’ portfolio companies have continued to develop well and the fair value changes of our own fund investments were positive as a result.
As noted already in February, the ongoing structural changes in the financial markets present us with intriguing M&A opportunities. We are also aiming at lowering our total financing costs through the repayment of our hybrid bond.”
To read CapMan Group’s Interim Report, please click below: