HarbourVest Offers at Least $972 Million for SVG Portfolio

  • Latest bid represents a higher offer than Goldman-CPPIB deal
  • SVG could return more than 700 pence a share to investors

HarbourVest Partners LLC sent a proposal to SVG Capital Plc to buy its portfolio for at least 783.1 million pounds ($972.3 million) as it attempts to outdo rival bids for the U.K. investment company.

The offer would let SVG return more than 700 pence a share to investors, HarbourVest said in a statement Monday. SVG had previously agreed to sell its portfolio to a fund managed by Goldman Sachs Group Inc. and Canada Pension Plan Investment Board for about 748 million pounds, or 680 pence a share.

SVG’s advisers will meet with HarbourVest’s representatives on Monday to discuss the proposal, SVG said in a statement. The company is also continuing to work with Goldman Sachs and CPPIB on their offer from last week, it said.

Boston-based HarbourVest offered to buy SVG outright for about 1 billion pounds last month, which would have given shareholders 650 pence in cash for each share they hold. SVG rejected the offer, which it said undervalued the company, and announced it planned to sell off part of its portfolio and wind down the business. Goldman Sachs and CPPIB then bid for the entire investment portfolio, SVG said in a statement last week.

SVG, which invests in private equity funds, rose 2.5 percent to 685.50 pence in London trading at 12:47 p.m. The shares have gained 39 percent this year.

Before it's here, it's on the Bloomberg Terminal.