Company overview Real-time quote AEP.AX , 2.010, +0, +0%) reported a half-year after tax net profit of $13.4 million, a 5% increase on the same period last year. The investment company said that current share market volatility offered further investment opportunities. Managing director Marcus Derwin said current market conditions and associated volatility would help to generate opportunities in the principal investing space that AEP is pursuing.
The company reported net assets of $5.53 per share as at 31 December 2007, a 166% premium to the closing share price of $2.08 on 12 February 2008. AEP also said that net tangible assets were $4.12 per share as at 31 December 2007.
The firm has key investments in IBA Health Group Limited (IBA.AX IBA HEALTH GRP14 March,200814/03/2008 09:24 Sydney, Australia. Value Change % Change 0.460 +0 +0%
Company overview Real-time quote IBA.AX , 0.460, +0, +0%), collections company Baycorp and electronic security systems company Signature Security Group.
Mr Derwin said that the entities in which AEP has invested operate in defensive sectors.
"This bodes well in the current economic climate," he said.
Mr Derwin highlighted the company's IBA investment, which was completed 31 October and allowed IBA to complete its acquisition of iSOFT.
"In line with our stated strategy, we identified and completed a sizable transaction with IBA investment," he said.
"We played an integral role in assisting IBA to complete the complex iSOFT acquisition, which involved a contested public market takeover in the UK."
AEP holds shares and convertible noted equivalent to 30.6% of IBA's issued ordinary shares on a fully diluted basis.
AEP said that Signature Security Group, an electronic security systems business, has continued to perform well and recently acquired the residential and medical monitoring contracts of New Zealand based Radius Security Limited.
Mr Derwin said Signature Security Group would continue to pursue other opportunities.
"These transactions support part of AEP's strategy of growing Signature Security through synergistic, value accretive business and line acquisitions," he said.
AEP said Baycorp, a receivables management company, continued to grow its business through the selective purchase of debt ledgers, mainly from banks and telecommunications customers.
The company declared a fully franked interim dividend of 5c per share, a 2c per share increase on the interim dividend declared and paid in 2007.
