Oakley Capital Investments Limited – Annual Results

Oakley Capital Investments Limited – Annual Results

Oakley Capital Investments Limited1 (AIM:OCI), which provides its shareholders with access to a portfolio of high quality companies through its investments in the Oakley Funds2, today announces its annual results for the year ended 31 December 2018. 

FINANCIAL HIGHLIGHTS 

  • NAV per share of £2.81, a total return of 16%
  • Total NAV of £574.8 million, a 5-year CAGR of 18%
  • Final dividend of 2.25 pence per share, payable in April 2019 (full year dividend of 4.5 pence)
  • £130.8 million of capital was deployed and £165.8 million cash was returned to the Company  

PORTFOLIO HIGHLIGHTS

PERFORMANCE

  • Fair value of the underlying portfolio companies grew by 33%
  • Average portfolio company year-on-year EBITDA growth of 39%
  • Average portfolio company valuation multiple (EV/EBITDA) of 12.6x and net debt to EBITDA ratio of 3.8x. The level of both is considerably below the industry average and conservative given the earnings growth and the capital light nature of the Oakley Funds’ portfolio companies
  • Positive revaluations across Oakley’s three core sectors: Consumer, TMT and Education. The largest contributors were Career Partner Group, Inspired and WebPros

REALISATIONS & DISTRIBUTIONS

  • The Company has benefitted from the realisations of Parship Elite, Verivox, Facile and Damovo, which generated a combined gross money multiple of 4.0x and returned £114.8 million to OCI
  • The realisations were at a combined 36% premium to the OCI 2017 year-end look through value and increased the Company’s NAV per share by 14 pence
  • TechInsights and Casa & atHome were refinanced in the period and returned £15.0 million to OCI

INVESTMENTS

  • Two investments were completed in the period: Career Partner Group (£30.5 million OCI contribution) and Facile (£28.9 million OCI contribution)
  • Five follow-on investments were completed during the year. Most notably, WebPros acquired cPanel (£14.6 million OCI contribution) and AMOS acquired CMH (£3.2 million OCI contribution)

FUND UPDATE

  • As a result of 24 months of successful investment, Fund III is now approximately 70% deployed
  • OCI announced a €400 million commitment to Oakley Capital Fund IV 

Caroline Foulger, Chair, Oakley Capital Investments Limited

Impressive portfolio company growth and successful realisations resulted in another excellent year for OCI, with a total NAV return of 16%, well ahead of the wider market. The current high-quality portfolio of 11 private companies grew average earnings at 39% and realisations returned £115 million, at a combined premium of 36% to the holding value.”

Peter Dubens, Managing Partner, Oakley Capital Limited

Oakley Capital took advantage of a strong exit environment in 2018, with four disposals made in the year. The most important ingredient in the success of these investments was the management we backed. 90% of the entrepreneurs we start an investment with are still in place when we exit; this compares to an industry average of 50%. We also go on to back these talented operators time and again, which is why, as we grow, our network grows, and as a result our pipeline of opportunities has never looked more attractive.” 

Please refer to the Company’s website for the Full Year Report and Accounts http://oakleycapitalinvestments.com/investor-centre/publications

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