• HMC Capital to receive ~$150m distribution from HMCCP Fund I
• HMCCP Fund I generated over 55% net returns in CY24
• HMCCP Fund II to target highest conviction listed and unlisted investments

HMC Capital Limited announced that its HMC Capital Partners Fund I (HMCCP Fund I) has declared an interim FY25 distribution totalling ~$300m. As the largest investor in HMCCP Fund I, HMC will receive a distribution of ~$150m in mid-April 2025. HMCCP Fund I was the best performing Australian equity fund in 2024, delivering more than 55% net returns. The interim distribution reflects the significant realised gains on HMCCP Fund I's investments in Sigma Healthcare and Ingenia Communities. HMC Capital, in consultation with the Trustees of HMCCP Fund I, has undertaken a review to consider the optimal strategy to continue delivering strong investment performance. The review has concluded that the fund should target a concentrated portfolio of HMC's highest conviction opportunities, and expand the mandate to invest in unlisted assets. As a result, unitholder approval will be sought to amend the trust deed and certain fund terms to reflect a more traditional private equity fund structure, including changing the fund name to HMC Capital Partners Fund II. HMC Capital has a pipeline of unlisted opportunities under review for Fund II, including a potential opportunity to acquire and recapitalise Healthscope.

Based on HMC's year-to-date performance, annualised FY25 operating EPS (pre-tax) is currently tracking at 70 cents. FY25 DPS guidance of 12.0 cents has been reaffirmed.

HMC Capital is excited about the upcoming launch of its second private equity vehicle, HMCCP Fund II, which will target both listed and unlisted opportunities. The company has refined the strategy and structure of Fund II to maximise potential returns for investors.