£1bn Stan Life Private Equity Trust joins FTSE 250

Abrdn’s £1 billion Standard Life Private Equity Trust (SLPE) will be promoted to the FTSE 250, from the FTSE UK Small Cap index, following the quarterly review of the LSE’s FTSE UK Index Series.

The change will be effective on Monday, March 21.

SLPE is proposing to change its name soon to Abrdn Private Equity Opportunities Trust plc.

“SLPE, with over £1bn of assets, holds a diversified portfolio of private equity funds and direct investments into private companies alongside private equity managers, a majority of which will have a European focus,” said Abrdn.

“The funds invest in mature businesses primarily through management buy-out transactions.

“The portfolio comprises of around 50 active private equity funds, managed by a select group of fund managers.

“In addition, the company complements its fund portfolio by investing up to 25% of NAV in co-investments.

“SLPE has a target of building an underlying portfolio of around 500 private companies and achieving long term total returns for its shareholders.”

Alan Gauld, Investment Manager, Standard Life Private Equity Trust said:  “We are thrilled that Standard Life Private Equity Trust will be joining the FTSE 250 in the coming days.

“This move will enable a broader investment base to gain access to a diversified portfolio of leading private companies.

“This news also tops off a year of important milestones for the company.

“It turned 20 years old in 2021, breached the £1bn barrier in net assets and delivered record annual NAV Total Return growth of 37.9%.

“As we look ahead, it is clear that the market environment has changed.

“We remain convinced that the private equity model of active ownership and majority control thrives throughout the cycle and, with companies staying private for longer, there will be a plentiful supply of attractive investing opportunities.

“However, mindful of the ongoing Russian military offensive against Ukraine, resulting in widespread sanctions on Russia and heightened security and cyber threats, we have confirmed that the company has no Russian or Ukrainian headquartered businesses in its portfolio.

“In addition, following discussions with the private equity managers of the company’s portfolio, we estimate that these countries also relate to less than 1% of underlying portfolio company revenues.

“With currently minimal direct risk to the company we will however continue to monitor developments as they arise, including the wider indirect impacts expected from this conflict.”

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