Hg, the Manager of HgCapital Trust plc (“HGT”), today announces that it has agreed to a part realisation of its investment in Azets Group, a leading provider of business-critical accounting, tax, payroll, audit and advisory services to SMEs.

PAI Partners has joined the business as a new investor. Following completion, PAI will hold an equal and co-controlling stake in Azets alongside current owners Hg.

Terms of the transaction are not disclosed and completion is subject to customary regulatory approvals.

HGT, whose shares are listed on the London Stock Exchange, gives private and institutional investors the opportunity to participate in all Hg’s investments.

The transaction values HGT’s investment in Azets at approximately £54.3 million. This would represent an uplift of £7.5 million (16% or 1.6 pence per share) over the carrying value of £46.8 million in the Net Asset Value (“NAV”) of HGT at 31 March 2023.

Note that these figures only relate to HgCapital Trust’s share of Hg’s overall investment in Azets.

Based on the 31 March 2023 reported NAV, the pro-forma NAV of the Trust is expected to be £2.2 billion (or 472.0 pence per share). HGT’s available liquid resources, which includes the undrawn bank facility of £350 million for future deployment (including all announced transactions and the final dividend paid in May) are estimated to be £654 million (30% of the pro-forma 31 March 2023 NAV).

News in full

Below is a short animated clip highlighting the key points from Hg’s Year End Results