2023: A Year of Gratitude
A tough year for many, 2023 was a year of gratitude for Hg as our resilient family of companies and our own measured and long-term approach to investment showed their strong foundations. We take a long-term view towards investing – backing enduring and decades-long trends in software adoption.
For 2023, we examined the overall environment and decided the best way we could make a difference was through the support of our portfolio, listening to the needs of our clients and being patient with new deployment.
2023 in numbers
A LEADING GLOBAL TECH INVESTOR
global firm in the PEI300 (second largest in Europe)
invested across CINC Systems, GTreasury, IRIS, JTL, Nomadia & Visma
MONEY BACK TO OUR CLIENTS
returned to clients in 13 liquidity events
liquidity events since the start of 2023 at an aggregate return of 3.5x / 30% IRR
A RESILIENT PORTFOLIO
EBITDA growth across the portfolio (27% sales growth)*
employment growth across a software and tech portfolio valued at over $130bn
* These figures represent LTM 30 September 2023 sales and EBITDA growth of the top 20 investments held by HgCapital Trust plc (c.76% of the Hg portfolio), calculated on a weighted basis, based on the respective gross valuations of the underlying investments. HGT, whose shares are listed on the London Stock Exchange, gives private and institutional investors the opportunity to participate in all Hg's investments
Building transatlantic capabilities
Transforming businesses with AI products & services built by Hg
Over the past decade, we've been assembling a team of in-house experts using data science and AI for value creation in our portfolio, and also within Hg. They have been deploying this lever with tremendous success, building our own proprietary suite of AI tools that we call ‘Retina’ to make this even more accessible to our portfolio.
Gathering Senior Leaders
Our community got stronger as, on top of our many functional forums, we brought together 100 transatlantic CEOs to look ahead on themes impacting the software sector – with a focus on AI. We've already booked 2024!
Our usual quarterly update
Together we build enduring software and services leaders that transform how people work
billion of software and services proceeds returned at 3.4x / 32% IRR**
years of investing
funds under management
employees across London, Munich, New York, Paris & San Francisco
(All facts and figures as at 30 September 2023, adjusted for events post period)
*Adjusted to currency spot rates. **Past performance is not a reliable indicator of future results. The value of investments and the income from them can go down as well as up as a result of market and currency fluctuations and other factors, some of which may be outside of our control, and investors may not get back the amount they originally invested.
Our portfolio in numbers
an ecosystem of software and services champions
portfolio employee growth
portfolio revenue growth LTM
portfolio EBITDA growth LTM
total revenue of our companies
LTM platform investment activity ****
Total deal EV
New platform investments
Last 10yrs investment activity
Total platform deal EV
Platform investments across sofware and services
* Reported as at November 2023 ** Reported LTM September 2023 *** These figures represent LTM 30 September 2023 sales and EBITDA growth of the top 20 investments held by HgCapital Trust plc (c.76% of the Hg portfolio), calculated on a weighted basis, based on the respective gross valuations of the underlying investments. HGT, whose shares are listed on the London Stock Exchange, gives private and institutional investors the opportunity to participate in all Hg's investments **** Includes all investments, some remain subject to closing
2023 M&A activity
* Publicly disclosed transactions on company website from 1st January 2023 to 31st December 2023. Some investments remain subject to closing
Over a decade of software and services transactions
* Includes all announced investments, some may remain subject to closing
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