VANCOUVER, British Columbia, Nov. 21, 2024 (GLOBE NEWSWIRE) — (TSXV: PTF) Pender Growth Fund Inc. (the Company) today announced its financial and operational results for the three months and nine months ended September 30, 2024.
Financial Highlights (Unaudited)
- Net income for the three months ended September 30, 2024 was $5,815,990 due to positive investment performance in the quarter.
- Net income per Class C common share (share) for the three months ended September 30, 2024 was $0.80 (September 30, 2023 “net loss of $0.01 per share).
- The company’s total shareholders’ equity increased by $39,630,185 from $69,886,178 on December 31, 2023 to $109,516,363 on September 30, 2024, driven by positive investment performance net income of $40,612,249 set by rechapur shares during the months. . $982,064 under the Company’s Normal Course Issuance Bid (NCIB).
- Shareholders’ equity as of September 30, 2024 was $15.10 per share ($9.48 as of December 31, 2023).
- There were 7,250,429 shares outstanding as of September 30, 2024 (December 31, 2023 “7,368,229), a decrease of 117,800 shares as a result of share repurchases under the NCIB, which was renewed on February 15, 2020.
- As of September 30, 2024, the investment portfolio consisted of 75.1% public companies and 24.9% private companies and net assets comprised 38% public listed companies, 12.5% private unlisted companies, and 49.5% cash and other. Assets net of liabilities.
- Management expense ratio (MER) before performance fees was 2.39% for the quarter ended September 30, 2024, down 0.06% from 2.45% in the third quarter of 2023.
| performance
(Based on |
3 months | 1 year | 3 years | 5 years | Since The beginning |
|||||
| Class C | 5.7% | 70.7% | 18.2% | 30.9% | 20.7% | |||||
Portfolio highlights
Completion of the sale of Copperleaf in the third quarter of 2024 and the subsequent injection of $70 million in cash significantly transformed the company’s portfolio. As on June 30, 2024, the company’s net assets were 95.7% publicly listed companies, 13.3% private unlisted companies and (-9.0%) cash and other assets liabilities. As of September 30, 2024, Pender’s net assets were 38% publicly listed companies, 12.5% private unlisted companies, and 49.5% cash and other assets liabilities.
Since the closing of Copperleaf, Pender has been deploying cash in opportunities it believes show promise and as of September 30, 2024, the portfolio included $58 million in cash. As of October 31, 2024, the cash balance was $35 million and as of November 15, 2024, another $8 million had been invested, and the company’s net assets were 49% publicly listed companies, 28% private unlisted companies and 23% cash. were and a net of other assets.
In October, after the end of the quarter, the company closed the purchase of four private technology companies from Pluribus Technologies. The acquisition was made by Pender. Software (ETR:) Holdings (or PSH) is a new entity owned 86% by Pender, with the balance by Acorn Partners Inc. (Acorn) and its principals have. Acorn (www.acorncappartners.com) is a Vancouver firm that invests in tech companies and provides consulting services to clients. The four acquired software companies are each cash flow positive and stable. PSH is leaving current management in place to focus on operational excellence with strategic support and access to capital managed by Pender and Acorn. Acorn founder and CEO Ampere Chan is the CEO of PSH. Pender plans to use PSH as a vehicle to invest in additional software companies. We believe this new enterprise has great potential.
We believe the company remains well-positioned to achieve its investment objectives and continue to see attractive investment opportunities as prices for micro- and small-cap stocks in North America remain attractive despite the recent rally this year. are
Investment results may be affected by future developments and new information related to broader economic conditions, inflation, central bank actions, geopolitical risks, market risks, unexpected judicial or regulatory actions, geopolitical and other factors. Global events, factors beyond the Company’s control. .
While macro events have driven investor sentiment, we have focused on our grassroots fundamental research to identify companies that can thrive in a wide range of economic scenarios. We believe that this environment offers great opportunities for investors with a long-term focus and that the company is well-positioned to continue to pursue its investment objectives.
As always, this quarter we worked closely with our private portfolio companies and some of our public portfolio companies.
Other Highlights
We continued to acquire shares of the company in the market under our NCIB as we believed the shares were trading at a discount to their intrinsic value. On February 15, 2024, the Company launched a new NCIB, under which the Company will purchase a maximum of 630,188 shares on the launch date, or 10% of the Company’s public float, during the one-year period ending February 14, 2025. can
We refer you to the Company’s MD&A and unaudited financial statements for the quarter ended September 30, 2024, audited financial statements for the year ended December 31, 2023 and other disclosures available under the Company’s profile at www.sedarplus.ca Referrals are encouraged. Additional information.
About the company
Pender Growth Fund Inc. is an investment firm. Its investment objective is to achieve long-term capital growth. The company uses its small capital base and long-term horizon to invest in unique situations, primarily in small-cap, special situations, and non-statutory public and private companies. The firm primarily invests in public and private companies in the technology sector. It trades on the TSX Venture Exchange under the symbol PTF and posts its NAV on its website, usually within five business days of the end of each month.
Please visit www.pendergrowthfund.com.
For more information, please contact:
Tony Rotava
Corporate Secretary
Pender Growth Fund Inc
(604) 653-9625
Toll Free: (866) 377-4743
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) assumes responsibility for the adequacy or accuracy of this release.
Looking ahead information
This news release may contain (within applicable securities laws) forward-looking statements regarding the Company’s business and the environment in which it operates. Forward-looking statements are identified by words such as believe, expect, project, expect, intend, plan, will, may, estimate and other similar expressions. These statements are based on the Company’s expectations, estimates, forecasts and projections and include, without limitation, statements regarding the Company’s dilution portfolio risk and future investment opportunities. Forward-looking statements in this news release are based on certain assumptions. They are not guarantees of future performance and involve risks and uncertainties that are difficult to control or predict. A number of factors could cause actual results to differ materially from those discussed in the forward-looking statements, including, but not limited to, the risk factors discussed in the Company’s annual information form under the heading “Risk Factors”. The factors are available at www.sedarplus.ca. . There can be no assurance that forward-looking statements will prove to be accurate as actual results and results may differ materially from those expressed in these forward-looking statements. Therefore, readers should not place undue reliance on any such forward-looking statements. In addition, these forward-looking statements are made as of the date of this news release and, except as expressly required by applicable law, the Company does not undertake to publicly update or update any forward-looking statements. assumes no obligation to revise, even as a result of new information. , future events or otherwise.
Source: Pender Growth Fund Inc
