LONDON--Utilico Emerging Markets Limited (UEM.LN), the
U.K.-based global emerging markets investment arm of Computershare,
Ltd (CPU), said Tuesday the reducing interest rate environment in
Brazil should, in time, be a positive for its stocks, not only in
terms of their financial performance, but also due to their
relative attractiveness as high yield investments, given that most
of the Company's holdings pay attractive dividends.
MAIN FACTS:
-UEM's net asset value cum income total return was 0.0% in the
period April 1 to June 30; good performance when compared to the
MSCI Emerging Markets Total Return Index (Sterling adjusted) which
was down 7.1%.
-UEM's share price fell by 1.8% during the period and the
discount to NAV widened to 7.4%.
-Quarter dividend of 1.375 pence per ordinary share which will
be paid on Sep. 7.
-UEM's gross assets less current liabilities (excluding debt) at
the beginning of the period under review were GBP382.9 million and
increased by GBP5.3 million to GBP388.2 million at the end of
June.
-Ordinary shareholders funds decreased by GBP3.8 million to
GBP374.7 million.
-During the period under review UEM increased its bank debt from
GBP4.4 million to GBP12.2 million.
-UEM's discount to NAV widened from 6.6% at March 31 to 7.4% at
June 30.
-The investment environment is challenging and is likely to
remain so.
-A great deal of uncertainty surrounds Greece, Italy, Spain and
Portugal and the Eurozone.
-However, UEM and emerging markets generally continue to outpace
the major developed markets in terms of growth and the Company is
positive on the portfolio's long term prospects.
-Write to Mark Shapland at mark.shapland@dowjones.com
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