SVG predicts improvements in selling stock

SVG Capital, the stock market-listed way into private equity giant Permira, today said it expects conditions for selling on companies or floating their shares to improve, particularly among its more mature and defensive investments.

Permira recently cut its stake in German phone company Freenet from 24.9% to 10%, which saw SVG collect £12.2 million in September — £3.9 million more than it had valued the stake at in June.

SVG said market conditions had been clearly "improving in the past few months", and many of the portfolio companies had "continued to stabilise".

But it added some cyclical companies are under earnings pressure, with Permira strengthening balance sheets where needed.