Alantra reports ordinary net profit of €18.1 million in 2015 (+27.7%)

Date 25 February 2016

Type Financial Results

Sustained growth in revenue and profits. Revenue came in at €71 million in 2015 (+7.1%). Of the total, 57% was generated by the investment banking business, 42% by asset management and the remaining 1% by other items.

The ‘fee business’ (the investment banking and asset management businesses carried out by N+1 – now Alantra Group – before its merger with Dinamia) generated net profit of €15.65 million (+14.7%).

The direct investment business (investment in companies and products managed by the Group itself) contributed €2.42 million to net profit[1].

Extraordinary profits were generated in the wake of the merger between N+1 and Dinamia (due to consolidating divergences), elevating the total net profit of the year to 65.85 million.

Solid capital structure. Shareholders equity stood at €180.1 million at year-end and the Group had no financial debt whatsoever.

Consolidated cash amounted to €112.9 million. The Group also had loans to third parties totalling €25 million, €22.5 million of which corresponding to deferred payments on the sale of an investment portfolio which are due within less than two years from the reporting date.

The portfolio of investments in other companies, funds and vehicles managed by the Group’s asset management companies is valued at €23.2 million.

2015, a transformational year for N+1. In the wake of its merger with Dinamia and integration of the US firm, C.W. Downer (announced in November 2015 and subject to FINRA approval), N+1 has emerged as a listed company with global capabilities and teams on the ground in 13 countries.

Strong business volumes. The investment banking area advised 115 transactions in 2015[2]: 59 M&A deals (56% of which were cross-border), 18 debt related deals (volume of close to €6 billion), 27 capital markets deals and credit portfolio transactions totalling €3.5 billion of volume.

In the asset management division, in which Alantra has €2.6 billion of assets under management, the private equity team closed the sales of Eysa and Teltronic for a combined sum of €230 million (combined IRR: 34.6%) in 2015. The Group’s active fund specialised in European small and midcaps (EQMC) generated a return of 36.6%, establishing itself as the top-performing global fund in its category over a three- and five-year period, according to Barclay Hedge[3]. It is also worth highlighting the first €100 million closing of a €150 million private debt fund which has already invested 43% of its capital in four transactions.

[1] Profit generated since the merger closed (on 9 July 2015).

[2] Announced transactions in 2015, including those closed by C.W. Downer. Integration with C.W. Downer is only subject to FINRA approval.

N+1 operates in the UK Capital Markets through its subsidiary N+1 Singer.

[3] The Barclay Hedge rankings, which rate the performance of roughly 200 funds over three and five years in the event-driven category, are the alternative investment benchmark for the trade press, investment community and asset managers worldwide.