ANALYST VIEWS: HAS 3i’S PERFORMANCE IMPROVED?

MICK GILLIGAN | KILLIK & CO
Investments and realisations increased significantly in the period compared to the same period last year and Queen reiterated his encouraging stance. 3i shares have performed well since April and this reaffirms the positive progress being made. We remain positive on the shares at the current 18 per cent discount to NAV.

CHARLES CADE | NUMIS
3i has a plausible long-term strategy to become an alternative asset manager focused on private equity, infrastructure and debt. However, the vast majority of its portfolio is in European buyout/growth investments where we believe its franchise has been weakened. We see 3i as an interesting trading opportunity, though.

BILL BARNARD | EVOLUTION SECURITIES
As expected, 3i’s IMS confirms a healthy level of exits and a pick up in investment, but exits of £337m were below our forecast. 3i has also been moribund price-wise and sentiment is weak despite increasingly progressive fundamentals. It may be early September before the stock re-rates as confidence in forecasts firms.