Interim results for the six months period ended 31 March 2008.

Corvus Capital Inc

Interim Results for the six month period ended 31 March 2008

27 June 2008, Corvus Capital Inc (ticker: CVS), the international investment company, announces its interim results for the six month period ended 31 March 2008.

Summary:

• £2.3 million of cash realised from disposals during the period increasing in the second half following additional disposals and £1.14 million dividend payment from Commoditrade.
• £0.4 million reduction of overheads compared to the same period last year and the drive for further reductions is continuing in the second half.
• Results are heavily influenced by the mark-to-market adjustment at the period end of the Company’s largest AIM investment, 22.57 per cent in Commoditrade Inc.
• NAV of 5.1 pence per share.

Commenting, Andrew Regan, Chief Executive of Corvus Capital Inc, said: “We have made considerable strides in achieving our investment strategy set out in the September 2007 Financial Statements. Corvus has been successful in disposing of many of the smaller AIM listed investments despite the difficult market conditions and is now well positioned to identify substantially larger investment opportunities where it can secure significant additional value for shareholders.”

Interim Statement

Results
Your Board is pleased to present Corvus Capital’s results for the six month period ended 31 March 2008 which produced a total loss of £24.6 million (six months ended 31 March 2007: profit £7.3 million), with the majority of the reported loss represented by the mark-to-market valuation of the Company’s largest investment in AIM company, Commoditrade where Corvus has a holding in 22.57 per cent of the issued ordinary shares.  The current valuation of this investment still represents a £7 million premium to Corvus’ original investment.

Since 30 September 2007 Corvus has successfully realised investments for aggregate cash proceeds of £2.3 million.  The Company has listed investments valued as at 31 March 2008 of £10.2 million and a number of unlisted investments valued at £0.9 million. The Company has successfully undertaken a reduction of overheads of £0.4 million compared to the same period last year and the drive to reduce the overhead base is continuing in the second half.

Strategy
We have made considerable strides in achieving our investment strategy set out in the September 2007 Financial Statements. The Company has the risk capital resources to target larger scale cash-flow based assets or companies which it believes have significant inherent value which is not otherwise being achieved by its incumbent management or reflected in its market value.  It also has access to funding with which to acquire those assets, either as principal or in partnership.

Post balance sheet events
The company has raised £169,000 from the disposal of an unlisted investment and received £1.14m as dividend income from Commoditrade Inc.

Board changes
On 18 April 2008, Geoffrey Conway-Henderson and Edward Hanson resigned as non-executive directors of the Company in order to pursue other interests. The Board would like to thank them for their valuable contribution to the Company.

Outlook
Corvus is now well positioned with the cash resources to identify substantially larger investment opportunities where it can secure significant additional value for shareholders.

Andrew Regan
Chief Executive

Adrian Collins
Non-executive Chairman

27 June 2008

Back to Previous Page

• Extranet
•  
• Home
•  
• Legal terms
•  
• Accessibility
•  
• Sitemap