Dec. 20 (Bloomberg) -- SVG Capital Plc, the biggest backer of private equity firm Permira Advisers LLP, said it will return 170 million pounds ($264 million) to shareholders and will widen its range of investments to include other buyout firms.
SVG Capital will start returning capital to shareholders through a 50 million pound tender offer, according to a statement released by the London-based company today.
The company is returning the money after meetings with its biggest shareholders, Chief Executive Officer Lynn Fordham said in the statement. The decision was partly made as a result of the “challenging market environment,” she said.
“Over time the company will build on its Permira portfolio through commitments to funds managed by a limited number of other leading managers,” SVG Capital said in the statement. “The longstanding relationship with Permira remains important to SVG Capital and will continue.”
The shares climbed 10 percent to 181.6 pence as of 8:06 a.m. in London trading. The stock has declined 14 percent this year.
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