Investment vehicle Reinet’s net asset value (NAV) declined 3.7% in the six months to end-September, reflecting decreases in the estimated fair value of some of its investments.
The group’s NAV at end-September decreased €257m to €6.7bn compared with €6.9bn at end-March.
NAV per share amounted to €36.62 from €38.04 before, the group said on Tuesday.
Reinet said the fall in the NAV reflected decreases in the estimated fair value of certain investments, including Pension Insurance Corporation Group, Trilantic Capital Partners, TruArc Partners, Asia Partners funds, NanoDimension funds and other investments, the dividend paid by the company and expenses in respect of management and performance fees.
Reinet paid a dividend of €0.37 per share, amounting to €67m during the period.
Offsetting these decreases were increases in the estimated fair value of its investments in Coatue funds and Prescient funds, gains realised on certain investments, including Trilantic Capital Partners, TruArc Partners and Coatue funds, and dividends received from Pension Corporation.
Ordinary and special dividends received from Pension Corporation amounted to €303m. Reinet has reached an agreement to sell 100% of its holding in Pension Corporation to Athora Holding, with the transaction expected to close in 2026.
Reinet said geopolitical tensions, economic risks and market uncertainty remained, while the Ukraine crisis, the situation in the Middle East and global trade tariff negotiations still caused concern.
“While interest rates are steadily trending downwards, there is a risk that inflation may increase again. The extent and impact of these worldwide factors remain uncertain,“ it said.
Reinet has no direct exposure to Russia, Ukraine or the Middle East through its underlying investments or banking relationships and has not experienced any significant direct effects in respect of interest rate fluctuations or inflation, it said.
During the period, commitments totalling €298m were made in respect of new and existing investments, with a total of €7m funded.
Business Day reported previously that the company had “significant” liquid funds after the sale of its stake in British American Tobacco (BAT) earlier this year.
The £1.22bn transaction ended the Rupert family’s nearly 80-year relationship with the tobacco industry.
Chair Johann Rupert, in his letter to Reinet’s shareholders published in the group’s annual report, said that despite the group’s favourable cash position, it would not blindly pursue acquisitions but grow its current investments.
“Reinet has disposed of its remaining interests in BAT and consequently has significant liquid funds, ensuring the ability to meet both existing and future investment commitments,” he said in the annual report.
The Rupert dynasty’s association with the tobacco industry dates back to the 1940s when Anton Rupert founded the Voorbrand Tobacco Company, later known as Rembrandt.
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