Icg Enterprise Trust Plc Gbp · LSE:ICGT
Icg Enterprise Trust Plc Gbp — ICG Enterprise Trust — Investor Presentation (June 2025)
37 slides from Icg Enterprise Trust Plc Gbp's investor presentation, Jun 18, 2025
Slide 1: Investing in resilience, delivering growth
Investing in resilience, delivering growth Shareholder Seminar 2025 WEDNESDAY 18 JUNE 2025 For professional investors only. Not for onward distribution Note: All data as at 31 January 2025 unless specified PRIVATE AND CONFIDENTIAL
Slide 2: Agenda
Agenda Times Session Speaker Jane Tufnell Chair, 15:15 to 15:30 Registration ICG Enterprise Trust 15:30 to 15:35 Introduction Jane Tufnell Oliver Gardey Portfolio Manager, 15:35 to 15:50 Our proactive approach to portfolio management Oliver Gardey ICG Enterprise Trust 15:50 to 16:20 Investing for lo
Slide 3: Introduction
Introduction Jane Tufnell Chair, ICG Enterprise Trust PRIVATE AND CONFIDENTIAL
Slide 4: Leading private equity investment trust
Leading private equity investment trust ICG ENTERPRISE TRUST AT A GLANCE 1981 Founded (managed by ICG since 2016) NAV £1,332m A share in ICG Enterprise Trust gives you exposure to a unique portfolio of mature, profitable and cash- NAV per Share 2,073p generative private companies across North Americ
Slide 5: How we generate shareholder value
How we generate shareholder value Investment strategy Generating long-term growth by investing in resilient private companies Optimising NAV return Cost base Working with our Manager and other suppliers to ensure value for money Capital allocation Balancing long-term compounding growth through new i
Slide 6: Our proactive approach to portfolio management
Our proactive approach to portfolio management Oliver Gardey Portfolio Manager, ICG Enterprise Trust PRIVATE AND CONFIDENTIAL
Slide 7: Private equity remains an attractive part of institutional investors' portfolios
Private equity remains an attractive part of institutional investors’ portfolios Institutional investors are increasing their PE allocations, driven by its higher relative The fundamentals remain compelling performance compared with other asset classes Investors’ outlook on PE Top 3 reasons for expe
Slide 8: Optimising shareholder value through cycles
Optimising shareholder value through cycles Capital return Investment programme Share buybacks Dividends Target allocations 36p Investment category Geography Enhanced NAV 33p per Share 30p 27p Direct Primary 23p 24p ~30-35% Increased trading ~40-50% North Europe liquidity America 50% 50% Secondary R
Slide 9: Our investment strategy
Investment Our investment strategy programme All private Buyouts Developed Mid-market and Top-tier equity markets larger deals managers Resilient More consistent Primarily in North More likely to be Track records of companies returns profile, with America and resilient and attract investing well les
Slide 10: Dedicated investment team
Investment Dedicated investment team programme Investment Committee Specialist LP Secondaries support Dedicated to ICG Enterprise Trust Oliver Gardey Colm Walsh Liza Lee Marchal Ryan Levitt Portfolio Manager Portfolio Manager Managing Director Managing Director 25+ years’ experience 20+ years’ exper
Slide 11: Shareholder distributions are an integral part of our offering
Share buybacks Shareholder distributions are an Dividends integral part of our offering TOTAL SHAREHOLDER DISTRIBUTIONS £59m1 £35m Dividends 2 £21m £22m Long-term buyback £18m £17m Opportunistic buyback FY20 FY21 FY22 FY23 FY24 FY25 Of opening 2.5% 2.1% 2.2% 1.9% 2.7% 4.6%1 NAV Share buybacks Progre
Slide 12: We have delivered long-term compounding growth
We have delivered long-term compounding growth Investing the full ISA allowance annually from 1999 to 2024 in ICG Enterprise Trust, and NAV per Share Total reinvesting dividends, would have generated a tax-free pot of £1.2 million by 31 January 2025 Return (annualised) 10.5% 1 year 14.5% 5 years (p.
Slide 13: Investment trust structure
Investment trust structure Liquidity: shares can be traded without requiring portfolio realisations Flexibility: dividends, buybacks at discounts, gearing Low minimums: cost of a share Portfolio maturity: shareholders acquire a position in a mature portfolio; no J-curve Simple to administer: like ow
Slide 14: Investing for long-term growth
Investing for long-term growth Colm Walsh Portfolio Manager, ICG Enterprise Trust Liza Lee Marchal ICG Enterprise Trust PRIVATE AND CONFIDENTIAL
Slide 15: Today's macroeconomic climate has elevated volatility
Today’s macroeconomic climate has elevated volatility Initial optimism for 2025 Current uncertainty Next 12 months? VIX Index over last 10 years 2015 2020 2025 Source: ICG Enterprise Trust, as of 31 January 2025. VIX index data sourced from https://www.cboe.com/tradable_products/vix/vix_historical_d
Slide 16: ICGT's Investment Committee has adapted to this environment
ICGT’s Investment Committee has adapted to this environment Focus on liquidity: secondary sales to supplement lower market-wide transaction activity and take advantage of buoyant secondaries market Active approach: selective deployment in to attractive secondary purchases and direct investments
Slide 17: We invest in companies with resilient growth
We invest in companies with resilient growth ROLLING FIVE-YEAR AVERAGE EBITDA GROWTH 25% ICGT Portfolio Top 30 EBITDA Growth > European Private Company EBITDA Growth > FTSE All Share EBITDA Growth 20% 20% 19% 19% 18% 18% 17% 15% 15% 14% 12% 12% 12% 12% 10% 5% 0% (5)% (10)% Rolling five years to end-
Slide 18: We partner with highly experienced managers
We partner with highly experienced managers GLOBAL SET OF ACTIVE RELATIONSHIPS EXAMPLE MANAGERS Europe: North America-based ~15-20 active relationships Europe-based North America: ~15-20 active relationships Notes: All company names and logos are trademarks owned by their respective holders and thei
Slide 19: Primary commitments are the foundation of our Portfolio
Primary commitments are the foundation of our Portfolio What we expect from primaries Strong returns through cycles Access to co-investment opportunities Strong returns through cycles ICGT PRIMARIES (10 YEAR IRR)1 NUMBER OF MANAGERS WHO OFFER COINVESTS Access to coinvestment 18% 25 of 34 opportu
Slide 20: Primary relationships generate attractive coinvestments
Primary relationships generate attractive coinvestments EXAMPLE COINVESTMENTS 16.3% Portfolio Return on a Local Currency Basis from our Direct Co-investments in FY25 Notes: All company names and logos are trademarks owned by their respective holders and their use herein does not imply any affiliatio
Slide 21: Coinvestments provide enhanced exposure to great companies
Coinvestments provide enhanced exposure to great companies What we expect from coinvests Higher returns for the higher risk Low loss rate Higher returns for the higher OF THE 48 COINVESTS EXECUTED SINCE 20161 EXECUTED COINVESTS SINCE 2016 risk None of the 48 coinvests 0% executed since 2016 is los
Slide 22: The secondary programme is growing and performing well
The secondary programme is growing and performing well What we expect from secondaries Attractive IRRs Quick cash return3 Attractive IRRs ICGT SECONDARIES (10 YEAR IRR)1 20% Quick cash Our 2021-2022 return secondaries investments have already returned SECONDARY BENCHMARK (10 YEAR IRR)2 0.7x cost
Slide 23: It is difficult to replicate this access via public market strategies
It is difficult to replicate this access via public market strategies S&P 500 FTSE 100 Large cap index with Profitable, cash-generative, EBITDA-positive Average market cap of average market cap of companies – Enterprise Value of $250m to $2bn ~£20bn ~$100bn Technology heavy: Financials and energy Th
Slide 24: Case study: Gridiron Capital
Case study: Gridiron Capital A long-standing and successful US relationship Kevin Jackson Gridiron Capital Colm Walsh Portfolio Manager, ICG Enterprise Trust PRIVATE AND CONFIDENTIAL
Slide 25: Role of secondaries in our portfolio
Role of secondaries in our portfolio Oliver Gardey Portfolio Manager, ICG Enterprise Trust PRIVATE AND CONFIDENTIAL
Slide 26: Secondary market overview
Secondary market overview LP-led transactions GP-led transactions Multi-Asset Continuation Vehicle Single Asset Continuation Vehicle LP (e.g. Pension Fund) Chooses fund PE PE positions to sell Sponsor decides Sponsor Multi-asset clean- Sponsor up trade typically to hold high for end of fund performi
Slide 27: Growing opportunity set
Growing opportunity set PRIVATE EQUITY AUM1 SECONDARIES MARKET TRANSACTION VOLUME2 $14T LP-Led GP-Led $180B $12T $160B $10T $140B $120B 75 $8T $100B 68 $6T 52 $80B 52 26 $4T $60B 24 9 17 35 87 $40B 9 $2T 11 62 64 56 60 50 $20B 38 33 37 26 25 $0T $0B 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Slide 28: Secondaries funds exhibit superior risk-adjusted returns
Secondaries funds exhibit superior risk-adjusted returns Performance, by asset class, median IRR and percentile spreads for 2012-2021 vintage funds1 Top 25% Median Bottom 25% Secondaries Private equity Infrastructure Private debt Real estate 20.2% 19.3% 14.8% 8.5% 12.7% 13.0% 12.5% 15.1% 11.6% 10.8%
Slide 29: Approach to due diligence for LP secondary purchases
Approach to due diligence for LP secondary purchases Approach to due diligence Too risky “Sweet spot” Limited growth Attractive pricing? Illustrative Fund IRR Alignment with strategy? 0 1 2 3 4 5 6 7 8 9 10 11 12 Underlying performance? Years Since Fund Inception Source: ICG Enterprise Trust, as at
Slide 30: Actively managing our Portfolio through LP secondary purchases
Actively managing our Portfolio through LP secondary purchases Recent years1 Buying rationale PERFORMANCE TO DATE OF THE FIVE 2021-2022 TRANSACTIONS LISTED ICG Ludgate Hill I (€45m) 2021 ICG Ludgate Hill II ($20m) PE-type returns Project Margaux (£15m) 1.7x Multiple on Cost 2022 ICG Ludgate Hill III
Slide 31: Actively managing our Portfolio through LP secondary sales
Actively managing our Portfolio through LP secondary sales Recent years1 Selling rationale Approach to due diligence 2020 £72m secondary sale 2021 £10m secondary sale Limited go-forward returns relative to other Attractive pricing? £68m secondary sale 2023 opportunities 2025 £62m secondary sale Real
Slide 32: Conclusion
Conclusion For follow-up questions after the event, please email: icg-enterprise@icgam.com To receive regular updates and insights from our Portfolio Managers, sign up to our newsletter on www.icg-enterprise.co.uk PRIVATE AND CONFIDENTIAL
Slide 33: Key takeaways from today
Key takeaways from today Private equity remains a structurally attractive allocation within an investment portfolio A share in ICG Enterprise Trust gives you exposure to a unique portfolio of profitable and cash-generative private companies across North America and Europe Nimble approach to Portfoli
Slide 34: Appendix
Appendix PRIVATE AND CONFIDENTIAL
Slide 35: Top 10 companies at 31 January 2025
Top 10 companies At 31 January 2025 % Portfolio 1 Supplier of fire protection systems and services 3.1% (realised post period-end) 2 Manufacturer and distributor of ice cream products 2.5% 3 Online retailer of premium pet food and products 2.0% 4 Provider of software focused on virtual data rooms 1.
Slide 36: Performance figures
Performance figures Performance for 12 months 31 January 2025 31 January 2024 31 January 2023 31 January 2022 31 January 2021 ending: NAV per Share Total Return 10.5% 2.1% 14.5% 24.4% 22.5% Share Price Total Return 12.5% 9.6% (2.3)% 27.1% 2.8% FTSE All-Share Index Total Return 17.1% 1.9% 5.2% 18.9%
Slide 37: Legal notice
Legal notice What this document is for This material is communicated by ICG Enterprise Trust plc (the "ICG Enterprise"). ICG Enterprise is managed by ICG Alternative Investment Limited ("ICG AIL") which is authorised and regulated by the UK Financial Conduct Authority. This material is provided for
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