VANCOUVER, British Columbia, April 5, 2024 (GLOBE NEWSWIRE) — (TSXV:PTF) Pender Growth Fund Inc. (the “Company”) today announced its financial and operational results for the year ended December 31, 2023.
financial highlights
-
Net income for the year ended December 31, 2023 was $1,029,528 (December 31, 2022 – net loss of $127,838,962), primarily as a result of strong investment performance during the year.
-
Net income per share of Class C common stock (the “Share”) for the year ended December 31, 2023 was $0.14 (December 31, 2022 – Net loss per share was $16.85).
-
Our total stockholders' equity decreased $353,077 from December 31, 2022 ($70.2 million) to $69.9 million as of December 31, 2023. This was primarily offset by $1,382,605 of share repurchases under the Company's normal course issuer bid (“NCIB”). Investment performance for the year was positive for him by $1,029,528.
-
Stockholders' equity per share as of December 31, 2023 was $9.48 (December 31, 2022 – $9.28).
-
The number of outstanding shares as of December 31, 2023 is 7,368,229 shares, which has decreased from December 31, 2022 (7,569,929 shares) as a result of share buybacks based on the NCIB updated on February 15, 2024. .
-
As of December 31, 2023, the investment portfolio consisted of 77.1% public companies and 22.9% private companies.
-
Management expense ratio (“MER”) excluding performance fees was 2.31% for the year ended December 31, 2023, compared to 1.90% for 2022, an increase of 0.41%.
|
performance (Based on stockholders' equity) |
Three months |
1 year |
3 years |
5 years |
Since its founding |
|||||
|
class C |
7.2 |
% |
2.2 |
% |
16.0 |
% |
18.0 |
% |
17.8 |
% |
Our portfolio is substantially concentrated in the securities of Copperleaf Technologies Inc. (“Copperleaf”), a publicly traded portfolio company. As of December 31, 2023, the Company held 6,889,883 shares of Copper Leaf Corporation stock, valued at $41,614,893, representing 59.5% of the Company's total stockholders' equity of $69,886,178 (December 31, 2022 – The 6,762,065 shares (valued at $38,814,252) were 55%).3% of the Company's total stockholders' equity. There can be no assurance that we will realize the value of this investment. As of December 31, 2023, all of Copperleaf's stock is directly owned by the Company following its merger with Pender Private Investments Inc. (“PPI”), described in “Pender Private Investments Inc.”.
Portfolio highlights
As inflation continues to slow, central banks led by the U.S. Federal Reserve are seizing the opportunity to signal a shift in interest rate policy, predicting the next rate cut. Markets quickly adapted to these forecast revisions, which could still lead to increased volatility, which could lead to disappointment if inflation remains high and interest rate cuts do not materialize as expected. These macro variables are likely to continue to receive attention in the future. We continue to monitor these macro events and provide updates to our company and portfolio companies with the goal of ensuring that our owned businesses have the durability and balance sheet strength to weather a variety of economic environments. We will evaluate the impact of
We believe we are still well-positioned to pursue our investment objectives and, despite recent gains this year, North American mid- and small-cap stock valuations remain attractive, creating an attractive investment opportunity. continues to be discovered.
Investment results are subject to future developments and new developments regarding inflation, the economic impact of central bank policies, M&A market conditions, geopolitical and other global events, and factors beyond our control. may be influenced by certain information.
While macro events are driving investor sentiment, we have continued to focus on bottom-up fundamental research to identify companies that can thrive across a wide range of economic scenarios. We believe this environment presents attractive opportunities for long-term investors and positions us well as we continue to pursue our investment objectives.
In 2023, we continued to work closely with our private portfolio companies and some of our public portfolio companies.
Large-scale stock investment and recent trends
Pender Private Investments Co., Ltd.
On December 31, 2023, we completed the merger of Pender Private Investments Inc. (“PPI”), formerly Working Opportunity Fund (EVCC) Ltd. (“WOF”), which we acquired in May 2021. .
Copperleaf Technologies Co., Ltd.
As of December 31, 2023, the Company held 9.3% of Copper Leaf's outstanding shares. The value of Copperleaf held by the Company was $41.6 million as of December 31, 2023, representing 59.5% of the Company's total stockholders' equity.
Other highlights
We continued to acquire our shares in the market under NCIB because we believe the shares are trading at a discount to their intrinsic value. On February 15, 2024, the Company launched a new NCIB, under which the Company will acquire up to 630,188 shares, equivalent to 10% of the Company's publicly traded shares on the launch date, for one year until February 14, 2025. You can buy it.
We encourage you to refer to our MD&A and annual audited financial statements for the year ended December 31, 2023, as well as other disclosures available under Company Profile at www.sedarplus.ca for additional information. .
About the company
Pender Growth Fund Inc is an investment company. Its investment objective is to achieve long-term capital growth. The firm leverages its small capital base and long-term horizon to invest primarily in special situations, including small-cap stocks, special situations, and illiquid public and private companies. The firm is primarily based in Canada and the United States and invests in public and private companies primarily in the technology sector. The company trades on his TSX Venture Exchange under the symbol “PTF” and typically posts his NAV on his website within five business days at the end of each month.
Visit www.pendergrowthfund.com.
For more information, please contact us below.
Tony Lautava
corporate secretary
Pender Growth Fund Co., Ltd.
(604) 653-9625
Toll Free: (866) 377-4743
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward-looking information
This news release may contain forward-looking statements (within the meaning of applicable securities laws) regarding our business and the environment in which we operate. Forward-looking statements include statements such as “believes,” “anticipates,” “predicts,” “expects,” “intends,” “plans,” “will,” “may,” or “estimates.” and other similar expressions. These statements are based on our expectations, estimates, projections and projections and include, without limitation, statements regarding the reduction of our portfolio risk and future investment opportunities. The 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 manage or predict. Many factors may cause actual results to differ from those discussed in the forward-looking statements, including, but not limited to, the factors discussed under the heading “Risk Factors” in the Company's Annual Information Form available at www.sedarplus The results may differ significantly. There can be no assurance that forward-looking statements will prove to be accurate, as actual outcomes or results may differ materially from those expressed in such forward-looking statements. Accordingly, readers should not place undue reliance on such forward-looking statements. Further, 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 intend to make any changes, whether as a result of new information or otherwise. We undertake no obligation to publicly update or revise any forward-looking statements. , future events and more.
