Thu, Dec 8, 2016
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Castle Alternative Invest completes second line share buyback program

Wednesday, October 20, 2010
Opalesque Industry Update - Castle Alternative Invest AG, the global fund of hedge funds investment company listed on the SIX Swiss Exchange and on the London Stock Exchange announced that it has completed the second line share buyback programme initiated on 21 June 2010. Accordingly, the second line on the SIX Swiss Exchange will be closed after market hours on Friday 22 October 2010.

Pursuant to this programme, CAI has repurchased 2,225,464 shares with a total consideration of CHF31.9million representing 5.78% of the shares currently in issue. The average purchase price per share was CHF14.34. This represents 11.29% of the shares that will be in issue after the capital reorganisation noted below. It is intended that a resolution be proposed to the 2011 Annual General Meeting to reduce the capital of the Company by the amount of shares acquired through the second line share buyback programme. After such cancellation, the Company would have 36,275,536 shares in issue, currently corresponding to a market capitalization of approximately CHF468.0 million.

However this capital reduction will be in addition to the capital reorganisation announced on 16 September 2010 which is expected to complete on or around 21 December 2010.

It remains the Directors' intention that the 15% average discount threshold and the maximum repurchase price of up to 95% of prevailing Net Asset Value per share will continue to apply to any possible future share repurchases for cancellation which result from the Company's stated discount control provision.

The Company was originally listed on the SIX Swiss Exchange in January 1997 and additionally listed on the London Stock Exchange on 5 June 2009. In US Dollar terms, CAI’s net asset value has achieved a net annualized return of 6.86%* since inception, compared to an annualized return of 2.69% for the MSCI World Index, with correlation to the index of 0.48*. Thomas Weber, partner and head of hedge fund investment management at LGT Capital Partners, has been lead portfolio manager since inception.

Mark White, General Manager of Castle Alternative Invest AG, said:

“Since the intention to list CAI in London and implement a discount control policy was announced, the discount at which the Company’s shares trade has narrowed from more than 25% to around 15% and the shares are now trading in-line with the listed fund of hedge fund sector as a whole. CAI has a longstanding track record of delivering consistent returns with low correlation to traditional asset classes and we believe it is an attractive vehicle for investors seeking diversified exposure to hedge funds.”

CAI seeks to achieve long term capital growth through investment in a well diversified and actively managed portfolio of hedge funds, managed accounts and other investment vehicles. Corporate website: www.castleai.com

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Institutions - Texas County & District culls 5 hedge funds, reallocates to existing managers, Kentucky board gives final approval to halve hedge fund portfolio, $38bn Finnish fund moves assets to U.S. as Europe flounders, South Korea’s National Pension Fund holds 5% stake in 62 listed companies[more]

    Texas County & District culls 5 hedge funds, reallocates to existing managers Texas County & District Retirement System, Austin, continues to reduce the number of hedge funds, but not the size of its $6.2 billion hedge fund portfolio. It will redeem a total of $760 million from five hedg

  2. Opalesque Roundtable: Australian family offices search for good risk adjusted returns, happy to pay for skill[more]

    Komfie Manalo, Opalesque Asia: Australian family offices want foremost good risk adjusted returns, and they are happy to pay for the skill, and in some cases, the limited capacity of an active manager. Jonas Daly, Head of Distribution at B

  3. StepStone announces close of Swiss Capital acquisition[more]

    StepStone Group LP announced it has successfully closed the acquisition of Swiss Capital Alternative Investments AG, one of the leading private debt and hedge fund solutions providers in Europe. The transaction was originally announced in May 2016, and has been in the process of receiving regulatory

  4. Investing - Stephen Cohen investing $275m in free clinics treating veterans' mental health issues, California Resources loses favor with hedge funds[more]

    Stephen Cohen investing $275m in free clinics treating veterans' mental health issues From Healthcarefinancenews.com: …Now, a new chain of free mental health clinics for vets has opened in five cities across the United States to fill the gap. The much-needed new treatment is underwritten

  5. Hedge funds flat in last week of November 'in sympathy with markets’[more]

    Komfie Manalo, Opalesque Asia: Hedge funds were close to flat in the last week of November in sympathy with markets, which took a pause ahead of the OPEC meeting and Italian referendum. The Lyxor Hedge Fund Index was -0.1% as of end November 29 (-1.7% YTD), according to the latest