SVG Capital agrees terms of portfolio sale to Goldman, Canada Pension Plan

SVG Capital has agreed the terms of a proposed sale of its investment portfolio to funds managed by Goldman Sachs and Canada Pension Plan Investment Board for around £748m.

This represents a 6.8% discount to the value of the investment portfolio at the end of July.

If the sale completes on the agreed terms, SVG – which is currently attempting to fend off a hostile takeover from US rival HarbourVest – said around £1.06bn will be returned to shareholders.

Chairman Andrew Sykes said: “As stated in our announcement on 4 October 2016, the board has pursued a number of options in order to create the most attractive solution for all shareholders. Following that announcement, the board received a proposal from Goldman Sachs AIMS Group and CPPIB to buy the company's entire investment portfolio.

“The board believes this proposal offers shareholders greater certainty than the previously proposed sale of 50% of the portfolio to Pomona Capital and Pantheon Ventures and will generate superior value compared with the existing 650p a share cash offer from HarbourVest Bidco. We look forward to working with Goldman Sachs AIMS Group and CPPIB to formalise the proposed investment portfolio sale shortly.”