Carson group PE firm expands investment activities in 3Q

Specialized private equity company, Guardian Capital Partners (WAPO), expanded its investment activities during the quarter ended December 31, 2016 (3Q17), with an investment of Rs.42 million on a hospitality and banking sector vocational training institute, WAPO’s interim financial statements said.
WAPO said that the total commitment for the Swiss Institute for Service Industry Development (Pvt) Ltd now stands at Rs. 52 million, with the remaining Rs.10 million being invested upon the company meeting set performance criteria.
The investment company has increased its total investments in unlisted companies to Rs.250 million by end-December, an increase from Rs.125 million recorded at the start of the financial year.
WAPO has invested in home grown travel booking engine Findmyfare during the 9 month period, in addition to Swiss Institute. The group’s previous investments in hSenid Business Solutions (Pvt) Ltd which stood at Rs.40 million at the start of the financial year, had appreciated, also adding up to the investment value increase during the 3Q17.
WAPO’s largest investment is in LVL Energy Fund Ltd, owning 34 percent stake valued at Rs.75 million. Investments have also been made in Kashmi Singapore Pte Ltd.
With respect to WAPO’s planned private equity operation to be set up under a joint venture with Small Enterprise Assistance Funds (SEAF), WAPO said that it is in the process of meeting potential local and foreign investors to raise funds, and obtaining regulatory approvals.
WAPO posted a Rs. 11.67 million net profit for 3Q17, up 7 percent year-on-year (YoY).  Earnings per share increased to 45 cents from 42 cents against a share price of Rs. 34.90.
While revenue for the quarter fell 25 percent to Rs.6.99 million, changes in the fair value of profit or loss financial assets pushed up profits.
WAPO’s total assets stood Rs. 708.49 million at the end of 3Q17, up from Rs. 646.67 million at the start of the financial year, with the new investments being made through existing cash.
The Carsons Group holds 86.22 percent of the shares in WAPO.