JZ Capital Partners performs steadily in most recent quarter

19th Dec 2018 11:13

(Sharecast News) - Micro-cap and US real estate-focussed investor JZ Capital Partners issued its interim management statement for the period from 1 September to 30 November on Wednesday, reporting a fall in its net asset value to $811.5m, from $837.6m at the end of February.The London-listed specialist fund said its net asset value per share was $9.80, which was down slightly from the $9.82 at the end of the prior period.It said that during the three months, a total of $81.1m was realised, including $31.3m from TWH Water Treatment Industries and $8.3m from the refinance of Esperante.Post-period end, $40.3m was realised from the sale of a minority stake in its Fulton Mall assemblage at net asset value to US mixed-use project investor and developer HomeFed.A total of $41.1m was invested in the quarter, including $14m in a new Flow Controls vertical; $14.5m in Evriholder, which the board described as a complementary acquisition to its Deflecto investment; and $4.8m in Orizon, a manufacturer of high precision machine parts and tools for the aerospace and defence industries.It also invested $1.8m in Avante, a build-up in the healthcare products space; and made $5m in follow-on real estate investments in its Fulton Mall and Wynwood assemblages.At the end of the period, the portfolio consisted of 42 micro-cap investments across nine industries and five major real estate 'assemblages' located in New York and South Florida, the board said."We are pleased with the steady performance of the underlying portfolio and series of successful realisations completed during the period," said JZ Capital Partners founder and investment advisor David Zalaznick."In particular, we are excited about the recently announced joint venture partnership with HomeFed with regards to JZCP's Fulton Mall assemblage, which has returned more than $40m in proceeds to JZCP."We look forward to further realisations in early 2019 and intend to pursue a tender offer funded with a significant portion of the proceeds, subject to shareholder approval."