Print   



1 AUGUST 2008

NORTHERN INVESTORS COMPANY PLC

INTERIM MANAGEMENT STATEMENT

FOR THE QUARTER ENDED 30 JUNE 2008

Northern Investors Company PLC presents its interim management statement for the quarter ended 30 June 2008. This constitutes the company's first interim management statement for the financial year ending 31 March 2009, as required by the UK Listing Authority's Disclosure and Transparency Rule 4.3. This statement has been prepared solely to provide additional information in order to meet the requirements of the Disclosure and Transparency Rules and should not be relied on by shareholders, or any other party, for any other purpose.

Economic and market conditions remain difficult and this has inevitably had an adverse effect on the performance of some investee companies. The directors have continued to take a prudent approach to the valuation of the portfolio.

The unaudited net asset value per ordinary share as at 30 June 2008 was 285.2p (31 March 2008 297.3p). The net asset value is stated after deducting the final dividend of 5.0p per share in respect of the year ended 31 March 2008, which was approved by shareholders at the annual general meeting on 25 June 2008 and was paid on 4 July 2008.

The number of ordinary shares in issue at 30 June 2008 was 19,425,440 (31 March 2008 19,425,440).

Net assets at 30 June 2008 comprised the following:

		% of
	£000	net assets
Unquoted investments at fair value
as determined by the directors	41,005	74.0
Quoted investments at bid price	914	1.7
	------	-----
Total fixed asset investments	41,919	75.7
Net current assets	13,489	24.3
	------	-----
Net assets	55,408	100.0
	------	-----

The ten largest investments by valuation at 30 June 2008 were as follows:

		% of
	£000	net assets
Weldex (International) Offshore	3,520	6.3
Britspace Holdings	3,176	5.7
Foreman Roberts Group	2,935	5.3
Axial Systems Holdings	2,301	4.2
Stainton Metal Company	2,026	3.7
Promanex Group Holdings	1,974	3.6
Paladin Group	1,967	3.6
Astbury Marsden Holdings	1,942	3.5
Optilan Group	1,900	3.4
Envirotec	1,778	3.2
	------	-----
Top ten investments	23,519	42.5
Other investments	18,400	33.2
	------	-----
Total fixed asset investments	41,919	75.7
	------	-----

Quoted investments are carried at bid price as at 30 June 2008. Unquoted investments are carried at fair value as at 30 June 2008 as determined by the directors.

During the three months ended 30 June 2008 the following significant investment transactions took place (all companies unquoted except where otherwise indicated):

New investments:

Name of company	Business activity	Amount invested £000
CGI Group Holdings	Manufacturer of fire, safety and security glass	1,723
Tikit Group (AIM-quoted)	Provider of consultancy services and software to legal and accountancy practices	525

Disposals:

Name of company	Sales proceeds £000	Original cost £000	Carrying value at 31 March 2008 £000
CGI Group	2,225	1,161	2,225
TFB Group	1,506	541	1,506
Product Support (Holdings)	7,349	3,703	5,734

CGI Group was acquired by CGI Group Holdings, a newly-incorporated company, in April 2008 as part of a recapitalisation exercise in which Northern Investors Company received £0.5 million in cash plus shares and loan stock in CGI Group Holdings valued at £1.7 million.

TFB Group was acquired by Tikit Group plc in April 2008; Northern Investors Company received £1.0 million in cash, plus shares in Tikit Group valued at £0.5 million.

Product Support (Holdings) was acquired by Wincanton plc in May 2008; Northern Investors Company received £7.3 million in cash.

The directors are not aware of any other events or transactions which have taken place between 31 March 2008 and the date of publication of this statement and which have had a material effect on the financial position of the company.

Enquiries:

Alastair Conn/Christopher Mellor, NVM Private Equity Limited - 0191 244 6000

Website:  www.nvm.co.uk

ENDIMSUUURARUPRGWG