HG Capital manager agrees to sell investment in Trace One

Private equity company HG Capital said on Wednesday that its manager had agreed to sell its investment in Trace One, a retail business platform for consumer-packaged goods, to Symphony Technology Group, a Californian private equity firm focused on the software, data analytics, and software-enabled technology services sectors.

HG Capital said the proposed sale, subject to French Workers' Council consultations and customary clearances, valued its investment in Trace One at approximately £5.8m, representing an uplift of 30% over the carrying value of £4.4m in HGT's net asset value on 28 February 2021.

Elsewhere, HG Capital said legal and compliance software provider Mitratech had agreed to a strategic investment from Ontario Teachers' Pension Plan, with the FTSE 250-listed firm retaining only a minority interest as a result of the deal.

HG Capital said the transaction valued its investment in Mitratech at approximately £49.9m, representing an uplift of 43% over the carrying value of £34.8m in the net asset value of HGT on 28 February.

As of 0825 GMT, HG Capital shares were up 2.99% at 327.50p.