Lehman Brothers Private Equity Partners Announces Monthly Net Asset
Value Update for January 2009
11 February 2009
Lehman Brothers Private Equity Partners Limited ("LBPE" or "the
Company"), a closed-end private equity fund of funds investment
company, today announced an updated valuation of its Net Asset Value
("NAV").
During the month of January, LBPE's Investment Manager, the NB
Alternatives group (formerly known as the Private Fund Investments
Group), undertook an extensive effort to contact fund sponsors and
obtain the latest information regarding preliminary year end
valuations. Given the sharp decline in asset valuations during the
fourth quarter of 2008, LBPE believed this proactive approach was the
prudent course of action in order to maintain industry leading
valuation processes and provide the most accurate value of the
private equity portfolio.
Based on preliminary valuation information collected through 10
February 2009, LBPE's unaudited NAV per share was $8.40 at 31 January
2009 compared to the unaudited 31 December 2008 NAV per share of
$9.41, which was based on information obtained through 12 January
2009. The most significant portion of the decrease (approximately
$1.02) was related to new valuation estimates for fund investments
and co-investments at 31 December 2008 based on information that was
collected in January.
The value of LBPE's private equity portfolio as presented in the
January 2009 monthly report was based on the following information:
* 22% of NAV was held in credit related fund investments and
publicly traded securities that have been re-valued as of 31
January 2009
* 55% of NAV was held in private equity funds valued using
preliminary information through 31 December 2008
* 3% of NAV was held in private equity funds valued using
information through 30 September 2008
* 20% of NAV was held in private co-investments using preliminary
information through 31 December 2008 or later as necessary
During January, LBPE's portfolio value decreased as a result of
negative foreign exchange adjustments and depreciation in the
unrealized value of publicly traded equity securities and credit
related fund investments. However, the net effect of share
repurchases through the Company's Liquidity Enhancement Agreement
contributed approximately $0.08 to LBPE's net asset value per share
during January. A total of 723,829 shares were repurchased during the
month at an average price per share of approximately $2.60.
Given the volatility of private equity returns during the fourth
quarter of 2008 and the initial implementation of FAS 157 by many
underlying sponsors for December 2008, the audit process for LBPE's
year end financial statements has been extended to April in order to
incorporate additional audited valuation information from underlying
fund sponsors. Once the audit is complete, LBPE will issue an annual
report and audited financial statements for the year ended 31
December 2008. The audited financial statements will include the
additional year end 2008 information received in January. In the
interim period, LBPE will continue to update and report its unaudited
NAV estimate using valuation estimates received from fund sponsors on
a preliminary basis.
The Company is required to consider, and will consider, all known
material information in preparing its financial statements, including
information that may become known subsequent to the issuance of this
monthly NAV update. Accordingly, amounts included in the financial
statements may differ from the amounts published in the monthly
report.
LBPE also expects to provide regular NAV updates for the months
ending 28 February 2009 and 31 March 2009 within seven business days
of each month's end.
A breakdown of LBPE's NAV can be obtained in the January 2009 monthly
report, which is published on the Company's Web site at www.lbpe.com.
The monthly report should be read in conjunction with this
announcement.
For further information, please contact:
LBPE Investor Relations +1 214 647 9593
Financial Dynamics +44 20 7269 7114
Rob Bailhache
Nick Henderson
About Lehman Brothers Private Equity Partners
LBPE is a closed-end private equity fund of funds investment company
listed on Euronext Amsterdam on 25 July 2007, raising a total of
$542.1 million. LBPE holds a diversified portfolio of private equity
fund investments and certain direct co-investments, diversified
across private equity asset class, geography, industry, vintage year
and sponsor, selected by the NB Alternatives group of Neuberger
Berman.
This press release appears as a matter of record only and does not
constitute an offer to sell or a solicitation of an offer to purchase
any security.
LBPE is established as a closed-end investment company domiciled in
Guernsey. LBPE has received the necessary consent of the Guernsey
Financial Services Commission and the State of Guernsey Policy
Counsel. LBPE is registered with the Dutch Authority for the
Financial Markets as a collective investment scheme which may offer
participations in The Netherlands pursuant to article 2:66 of the
Financial Markets Supervision Act (Wet op het financial toezicht).
All investments are subject to risk. Past performance is no guarantee
of future returns. Prospective investors are advised to seek expert
legal, financial, tax and other professional advice before making any
investment decision. The value of investments may fluctuate. Results
achieved in the past are no guarantee of future results. This
document is not ntended to constitute legal, tax or accounting advice
or investment recommendations. Prospective investors are advised to
seek expert legal, financial, tax and other professional advice
before making any investment decision. Statements contained in this
document that are not historical facts are based on current
expectations, estimates, projections, opinions and beliefs of LBPE's
investment manager. Such statements involve known and unknown risks,
uncertainties and other factors, and undue reliance should not be
placed thereon Additionally, this document contains "forward-looking
statements." Actual events or results or the actual performance of
LBPE may differ materially from those reflected or contemplated in
such targets or forward-looking statements.
This announcement was originally distributed by Hugin. The issuer is
solely responsible for the content of this announcement.
