About us

Our strategic objectives

3i is an investment company with two complementary businesses, Private Equity and Infrastructure. We focus on opportunities where our sector and investment expertise, combined with our international presence and strong capital position, can create material value for our stakeholders.

1. Grow investment portfolio earnings

FY2019 progress

93%

of Private Equity portfolio companies1 (by value) grew earnings in FY2019

 

1. Includes 21 companies valued on an earnings basis, as well as Basic-Fit.

FY2020 outlook

  • Action’s growth is expected to continue as it focuses on store roll-out, further investment in the supply chain and maintaining the strong market position of the business
  • We expect strong performance from the 2013-16 vintage and good progress from the 2016-19 vintage, with a number of assets benefiting from recent bolt-on acquisitions
  • Continue to monitor the potential impact of geo-political and macro-economic uncertainty
2. Realise investments with good cash-to-cash returns

FY2019 progress

£1,242m

Group proceeds

(or £713 million net of £529 million reinvestment in Scandlines)

FY2020 outlook

  • Realisations in FY2020 are expected to be lower compared to this year. We expect total proceeds of c.£350 million to £500 million
3. Maintain an operating cash profit

FY2019 progress

£46m

Operating cash profit2

 

2. Operating cash profit is an APM

FY2020 outlook

  • Continue to focus on generating income where appropriate from the Private Equity portfolio
  • Continue to maintain cost discipline
  • Good cash income expected to continue from Infrastructure and Scandlines
4. Use our strong balance sheet

FY2019 progress

£322m

Invested in Private Equity

£529m

Reinvestment in Scandlines

FY2020 outlook

  • Invest up to £750 million of proprietary capital in four to seven Private Equity investments, whilst maintaining price discipline
  • Manage our Infrastructure funds and support other initiatives in Europe
  • Grow the North America infrastructure portfolio
5. Increase shareholder distributions

FY2019 progress

35.0p

Dividend per share

FY2020 outlook

  • The dividend will be subject to the level of investment, realisations and balance sheet strength
  • Aim to maintain or grow the dividend year-on-year
  • In line with our dividend policy, expect first FY2020 dividend to be 50% of FY2019’s total dividend of 35.0 pence
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