Oryx International Growth Fund Ltd on Friday said net asset value per share was down and it swung to a loss, but it remained optimistic as it eyes cheap investments with depressed valuations.

The UK and US-focused investment company said NAV per share on September 30 was 1,338.00 pence, down 15% from 1,567.00p on March 31. Shares in Oryx International were down 3.1% to 1,042.00p in London on Friday at midday.

Pretax loss in the six months that ended September 30 was £32.0 million, swinging from a profit of £32.5 million a year earlier. It also reported a half-year unrealised investments loss of £34.2 million, swinging from a gain of £28.7 million.

Oryx International argued inflationary pressures were causing housebuilders to suspend new build construction projects, as mortgage rates soar with higher interest rates and the threat of a Chinese invasion of Taiwan. It said consumer sentiment was at ‘historic lows’ as a result, noting the UK had three different prime ministers during its half-year period.

‘The first half of our financial year saw the downward pressure on markets intensifying. The full effects of Covid-19, the war in Ukraine, inflation and the cost of living crisis are all contributing to the poor investment markets,’ said Chair Nigel Cayzer.

It said it remained confident in outlook despite falling NAV per share and swinging to loss, arguing there are opportunities to capitalise on depressed valuations of companies and make cheap investments.

‘Markets have recovered somewhat in recent days and there is hope that we are near the bottom. While we cannot predict the market, we can be confident that our companies remain well capitalised and capable of using operational levers to cut costs and remain profitable,’ said Harwood Capital Management Gibraltar Ltd LLP, Oryx International’s investment adviser.

No interim dividend was declared during the half-year period.

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