With assets under management of about EUR 600 mn MCI Capital is the number 1 tech\/digital investment company in the CEE region – we can read in a special report by Raiffeisen Research.<\/p>\n
In terms of exits MCI Group shows a strong track record. Since 2012 the company has done 13 larger exits of its buyout and expansion portfolio \u2013 most of the companies were under the control of MCI or held as a joint venture. “The return also looks in line with or even above what private equity firms are currently targeting. According to a survey done by Paul Gompers at al. (Private Equity and Covid, 9\/2020), the median PE fund targets a 25% IRR and 2.5x MoIC (Multiple on Invested Capital), which compares to MCI Group\u2019s historical 27.2% IRR and 2.5x MoIC” – informs Raiffeisen Research.<\/p>\n
MCI Capital\u2019s peers are generally valued at 0.79-0.86x book value (which should reflect the fair value of portfolio companies) and have a dividend yield of around 3.1-3.4%. Analysts say that MCI Capital\u2019s valuation seems quite attractive relative to its peers, as the company is currently trading at a ca. 45% discount to its latest trailing NAV and at a 40% P\/B discount to other listed private equity and venture capital companies which trade at a trailing P\/B of ca. 0.9 on average. Keeping in mind the impressive NAV growth of 18.1% per annum in the past 22 years, this discount could be somewhat overdone.<\/p>\n
More in the attached document below.<\/p>\n