abrdn Private Equity Opportunities Trust plc (“APEO” or “the Company”) announces its estimated net asset value (“NAV”) at 31 July 2023

• Estimated NAV at 31 July 2023 was 740.2 pence per share (estimated NAV at 30 June 2023 was 747.5 pence per share), a 1.0% decrease from the month of June
• Excluding new investments, 98.5% by value of portfolio dated 31 March 2023 (estimated NAV at 30 June 2023 was 98.5% dated 31 March 2023)
• Second interim dividend of 4.0 pence per share paid on 28 July 2023
• APEO paid £14.5 million of drawdowns to existing commitments and received £10.4 million of distributions during the month of July
• Outstanding commitments of £655.2 million at 31 July 2023
• Liquid resources (cash balances plus undrawn credit facilities) were £211.7 million as at 31 July 2023

APEO’s valuation policy for private equity funds and co-investments is based on the latest valuations reported by the managers of the funds and co-investments in which the Company has interests. In the case of APEO’s valuation at 31 July 2023, excluding new investments, 98.5% by value of the portfolio valuations were dated 31 March 2023. The value of the portfolio is therefore calculated as the 31 March 2023 valuation, adjusted for subsequent cashflows over the period to 31 July 2023.

This is substantially unchanged from the estimated NAV at 30 June 2023, whereby 98.5% of the portfolio valuations, excluding new investments, were dated 31 March 2023, adjusted for subsequent cashflows over the period to 30 June 2023.

Estimated NAV

At 31 July 2023, APEO’s estimated NAV was 740.2 pence per share (estimated net assets £1,138.0 million), representing a 1.0% per share decrease from the estimated NAV at 30 June 2023 of 747.5 pence per share (estimated net assets £1,149.3 million). The 7.3 pence decrease in NAV per share reflected losses arising primarily from a 1.2% depreciation in the dollar versus sterling during July, a 0.1% depreciation in the euro versus sterling during July and the second interim dividend payment of 4.0 pence per share on 28 July 2023. The cash cost of the second interim dividend was £6.1 million.

Drawdowns and distributions

APEO paid £14.5 million of drawdowns to existing commitments and received £10.4 million of distributions during the month of July. The distributions received generated realised gains and income of £7.4 million.

Investment activity

There were no new commitments to announce from the month of July.

Commitments

The Company had £655.2 million of outstanding commitments at 31 July 2023. The Manager believes that around £91.2 million of the Company’s existing outstanding commitments are unlikely to be drawn.

Credit facility and cash balances

The Company has a £300.0 million syndicated revolving credit facility provided by The Royal Bank of Scotland International Limited, Societe Generale and State Street Bank International GmbH, and it expires in December 2025. The Company drew a total of £8.6 million from the facility during the month of July, increasing the total drawn balance to £108.1 million at 31 July 2023. The remaining undrawn balance of the facility at 31 July 2023 was therefore £191.9 million.

In addition, the Company had cash balances of £19.8 million at 31 July 2023. Liquid resources, calculated as the total of cash balances and the undrawn balance of the credit facility, were therefore £211.7 million as at 31 July 2023.

Update from the Manager

During July 2023, abrdn announced that it had agreed to sell its US Private Equity and Venture Capital assets, that it acquired from FLAG Capital in 2015, to HighVista Strategies LLC. The sale is expected to complete later this year.

This transaction has no impact upon the management of APEO as the team transferring to HighVista had no involvement in the management of APEO or in the selection of investments for APEO.

Eric Albertson, a senior member of the abrdn private equity business since 2008 and based in the US, will not transfer to HighVista Strategies. Eric, with additional support, will continue to provide US investment capabilities and portfolio management of North American funds and investments for APEO.

As such, the Company remains under the same management team and will continue to pursue the same long-term investment strategy, principally focused on investments in European mid-market private equity, but with the ability to provide targeted exposure to certain North American mid-market private equity managers and strategies.

The latest update from the Manager is available within the Latest News section of the Company website; www.abrdnpeot.co.uk

Future announcements

The Company is expecting to announce its estimated NAV at 31 August 2023 on or around 14 September 2023.

Additional detail about APEO’s NAV and investment diversification can be found on APEO’s website. Neither the contents of the Company’s website nor the contents of any website accessible from hyperlinks on the Company’s website is incorporated into, or forms part of, this announcement.

In the TV clip below Alan Gauld, Senior Investment Director at APEO outlines the the major financial highlights from the period. He also presents the investment case for listed private equity and prospects for the Trust.