Aberdeen International Reports Value of Investment Portfolio and Cash of $0.83 Per Share for Fourth Quarter Ending January 31...
February 20 2013 - 6:00AM
Marketwired Canada
ABERDEEN INTERNATIONAL INC. ("Aberdeen", or the "Company") (TSX:AAB) today
announces that the value of its investment portfolio as at January 31, 2013, the
end of its 2013 fourth fiscal quarter, was approximately $70.9 million including
a cash balance of $10.4 million. This equates to a value of $0.83 per basic
share outstanding. This report of the portfolio value is not equivalent to the
net asset value that has been previously reported by Aberdeen as it does not
include assets and liabilities of the company that are not treated as
investments. Rather, this report refers only to the cash, equity investments
(private and public), option-type investments (for example, warrants) and
corporate debt/loans receivable of the Company.
The value of the investment portfolio decreased from the third quarter results
for the period ended October 31, 2012, by approximately $4.4 million or 5.8
percent. Despite a small rally in January, the TSX Venture exchange was down
7.0% over the same period. Annual financial results are expected to be released
on or before May 1, 2013, which include the Company's other assets and
liabilities.
January 31, 2013 October 31, 2012 January 31, 2012
Shares
outstanding 85,994,602 86,272,302 86,100,139
$ $/Shares $ $/Shares $ $/Shares
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Cash on
hand 10,417,577(i) 0.12 1,118,673 0.01 7,372,118 0.09
Investments
Publicly
traded 29,564,393 0.344 31,082,472 0.360 51,916,759 0.603
Private 21,319,834 0.248 13,831,781 0.160 16,325,377 0.190
Non-
trading
warrants
Intrinsic
value 1,032,114 0.012 100,650 0.001 1,915,000 0.022
Option
value 1,415,665 0.016 841,105 0.010 2,170,214 0.025
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2,447,779 0.028 941,755 0.011 4,085,214 0.047
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Portfolio
Investments 53,332,006 0.620 45,856,008 0.532 72,327,350 0.840
Loans /
preferred
shares 7,167,196 0.083 28,310,109 0.328 3,459,778 0.040
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Total 70,916,779 0.825 75,284,790 0.873 83,159,246 0.966
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-----------------------------------------------------------------
(i) Includes cash from trades made at the end of January 2013 but settled in
February 2013.
David Stein, Aberdeen's CEO stated: "While we were encouraged by stock price
action in the early part of January, the enthusiasm has faded quickly in the
past few weeks. Gold stocks that were leading the mining market in 2012 have
seen their share prices cut drastically as the sector has lost support. Despite
our bullishness over the longer-term, we expect the weak commodities and junior
equities markets to continue in the short to medium term. Strategically we have
moved to increase liquidity in our portfolio to manage risk and potentially take
advantage of deeply discounted valuations."
Suspension of Regular Dividend
Aberdeen has decided to suspend the payment of dividends due to market
conditions. The implementation of a regular dividend has not led to the positive
re-rating that the Company expected, and given the extreme pessimism and
weakness in the junior mining equities space, the Company feels that
preservation of cash for other endeavours is a priority.
Normal Course Issuer Bid
During the twelve months ending January 31, 2013, 1,005,500 common shares were
purchased for cancellation at an average cost of approximately 40 cents.
Aberdeen's current NCIB program will expire on February 26, 2013.
About Aberdeen International Inc.:
Aberdeen is a publicly traded global investment and merchant banking company
focused on small cap companies in the resource sector. Aberdeen will seek to
acquire significant equity participation in pre-IPO and/or early stage public
resource companies with undeveloped or undervalued high-quality resources.
Aberdeen will focus on companies that: (i) are in need of managerial, technical
and financial resources to realize their full potential; (ii) are undervalued in
foreign capital markets; and/or (iii) operate in jurisdictions with moderate
local political risk. Aberdeen will seek to provide value-added managerial and
board advisory services to companies. The Corporation's intention will be to
optimize the return on its investment over a 24 to 36 month investment time
frame.
For additional information, please visit our website at
www.aberdeeninternational.ca and follow us on Facebook and Twitter: AberdeenAAB.
Cautionary Note
Except for statements of historical fact contained herein, the information in
this press release constitutes "forward-looking information" within the meaning
of Canadian securities law. Such forward-looking information may be identified
by words such as "plans", "proposes", "estimates", "intends", "expects",
"believes", "may", "will" and include without limitation, statements regarding
the impact of the appointment on Aberdeen; past success as an indicator of
future success; net asset value of the Company; the potential of investee
companies and the appreciation of their share price; the future intentions of
the Company with regard to its shareholdings; the Company's plan of business
operations; and anticipated returns. There can be no assurance that such
statements will prove to be accurate; actual results and future events could
differ materially from such statements. Factors that could cause actual results
to differ materially include, among others, metal prices, competition, financing
risks, acquisition risks, risks inherent in the mining industry, and regulatory
risks. Most of these factors are outside the control of the Company. Investors
are cautioned not to put undue reliance on forward-looking information. Except
as otherwise required by applicable securities statutes or regulation, the
Company expressly disclaims any intent or obligation to update publicly
forward-looking information, whether as a result of new information, future
events or otherwise.
FOR FURTHER INFORMATION PLEASE CONTACT:
Aberdeen International Inc.
Mike McAllister
Manager, Investor Relations
+1 416-309-2134
info@aberdeeninternational.ca
Aberdeen International Inc.
David Stein
President and Chief Executive Officer
+1 416-861-5812
dstein@aberdeeninternational.ca
www.aberdeeninternational.ca
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