CapMan estimates approx. 15% decline in the fair value of its fund investments in the last quarter of 2008
CapMan Plc Stock exchange release 18 December 2008 at 9.58 a.m EET
CapMan Plc estimates that the fair value of investments it has made from its own balance sheet in funds that it manages will decline by approx. 15% in the last quarter of the year. The fair value of CapMan Plc's own investments on 30 September 2008 amounted to MEUR 59.8. The estimated decline will have an impact on CapMan Plc Group's result for 2008 but not on the Group's cash flows. As a result of the fair value change, CapMan Plc Group expects to post a loss for 2008. The final change in the fair value of the investments for the last quarter of 2008 will be published on 29 January 2009 when CapMan Plc publishes its financial statements bulletin for 2008.
Of the fund investments made by CapMan Plc, over one-half are in the CapMan Buyout VIII and CapMan Equity VII funds managed by CapMan, which invest in Nordic mid-sized buyouts. The fair values of portfolio companies are determined in accordance with International Private Equity Valuation Guidelines (IPEVG). In addition to the companies' own financial status, the multiples of portfolio companies' listed peers significantly affect fair value evaluations.
For more information, please contact:
Heikki Westerlund, CEO, CapMan Plc, tel. +358 207 207 504 or +358 50 559 6580.
Helsinki Stock Exchange
CapMan is one of the leading alternative asset managers in the Nordic countries and Russia and manages private equity funds with approximately EUR 3.2 billion in total capital. CapMan has six investment areas (CapMan Buyout, CapMan Technology, CapMan Life Science, CapMan Russia, CapMan Public Market and CapMan Real Estate), and each of them has a dedicated team and funds. Altogether CapMan employs 140 people in Helsinki, Stockholm, Copenhagen, Oslo and Moscow. CapMan was established in 1989 and its B shares have been listed on the Helsinki Stock Exchange since 2001.