Downing Strategic Microcap Investment Trust PLC on Thursday gave an update on its managed wind-down.

In November, the London-based investment trust concluded that a managed wind down of its investment portfolio would be the best means of returning capital to shareholders.

On Thursday, the company predicted that it will be able to return 50% of its current market value in cash to shareholders within the first half of 2024. This will be followed by a complete wind down.

The company noted that bids for its portfolio companies continue to be made ‘at premiums to their share price’.

As of December 27, the company’s total assets were valued at £31.2 million.

The company also said that, while it is intent on returning capital to shareholders in the most tax efficient manner, it will remain open to alternative options for the future of the company that ‘merit consideration’.

The company expects to provide a further update to shareholders in mid-January.

Downing Strategic Microcap’s shares were up 2.0% at 59.18 pence each in London at midday on Thursday

Copyright 2023 Alliance News Ltd. All Rights Reserved.