- Investment sold at 31 per cent premium to book value
- £21mn tender offer pitched at premium to share price
- Spot net asset value (NAV) around £113.4mn (21.6p)
- 33 per cent discount to NAV
Logistics Development Group (LDG:14.5p), an investment company managed by asset management firm DBay, has sold an investment at a 31 per cent premium to book value and plans to return £21mn of cash to shareholders, subject to their approval. The distribution will be made through a tender offer at 19p a share, representing a 31 per cent premium to the current share price.
In February 2024, LDG acquired a £10mn (1.9p) high-interest payment in kind (PIK) fixed-rate unsecured loan note issued to The Power of Talent Midco, a special-purpose vehicle that owns the operating companies of unlisted company Nash Squared Group, a recruitment and consultancy business. Following the sale of Nash Squared's NashTech division a fortnight ago, the loan note was redeemed for £13.1mn to generate an internal rate (IRR) of 36 per cent during LDG’s 46-week holding period. LDG now holds £44mn (8.4p) of cash, of which half will be returned through the tender offer, details of which will be announced shortly.