Pantheon International (LON:PIN) reported a 4.9% increase in Net Asset Value (NAV) over the six months ended 30 November 2025, supported by modest underlying valuation gains, investment income, favorable currency movements, and an ongoing share buyback program.
NAV performance and discount narrowing
Management said underlying valuation gains and investment income contributed 2.8% to NAV growth during the period. With the majority of the unhedged portfolio denominated in U.S. dollars, favorable currency movements added a further 2.2% to returns. The company’s share buybacks also provided a boost, with Pantheon International investing GBP 42.8 million in repurchases, which management said added around 1% to NAV. These positive factors were partially offset by expenses and taxes.
Management acknowledged that generating NAV outperformance has become more challenging in recent years, particularly against “exceptionally strong performance” in public markets. However, the firm reiterated its focus on delivering returns consistent with shareholder expectations for a private equity portfolio.
Strategic actions and enhanced analytics
Management said it has agreed “a number of actions” with the board intended to improve long-term NAV performance and help close the discount. A key step has been an effort to materially enhance analytical capabilities to provide deeper insight into the underlying portfolio.
According to management, the expanded analytics are intended to:
- Provide greater granularity and transparency to the board to support more informed strategic decisions;
- Help the manager apply portfolio learnings to maximize potential and invest in the “right mix” of assets; and
- Offer investors and analysts more detailed information to better understand the drivers of portfolio performance.
Portfolio positioning and investment approach
Management described Pantheon International’s strategy as providing investors with access to a portfolio of growing private companies via a combination of funds and direct investments. As of 30 November 2025, approximately 39% of the portfolio was allocated to “invitation-only, access-constrained” primary funds, while around 53% was invested directly in private companies.
In discussing primary investments, management emphasized the importance of private equity manager selection and the ability to outperform public markets. The firm said its “manager buy list” has been refined to concentrate capital with managers demonstrating consistent first- and second-quartile performance, and that it prioritizes sector specialists with “buy and build” capability and repeatable operational value creation.
Management also discussed the secondaries market, noting that transaction volumes reached record levels in 2025. While Pantheon International has used secondaries historically as a tool to optimize the portfolio, management said it intends to use this approach more actively in the future when timing is appropriate, with the goal of reshaping the portfolio in line with its strategy objectives.
In addition to buybacks, the company committed GBP 92.6 million to seven new investments during the six-month period. Management also said it has agreed with the board a reduction in the management fee paid to Pantheon, with a simplified calculation method scheduled to take effect from 1 June 2026.
Balance sheet, leverage, and liquidity
Management said measured use of leverage to reduce cash drag and enhance NAV growth remains central to the strategy. During the period, the company refinanced and extended the tenure of its GBP 400 million revolving credit facility to October 2029, which management said came on improved commercial terms that compare favorably with peers. The company also has access to $150 million of private placement loan notes.
As of 30 November 2025, management reported GBP 120 million drawn under the credit facility and GBP 113 million (sterling equivalent) of loan notes outstanding. With net available cash of GBP 24 million, Pantheon International ended the period with a net debt position of 9.3%, which management said was prudent.
Management added that financing cover was 4.4 times at period-end and that the undrawn coverage ratio was 87%. The firm said it regularly stress tests the balance sheet to ensure it has sufficient liquidity to withstand a range of market conditions, while retaining flexibility for share buybacks and new investment opportunities.
Private equity market conditions and cash generation
Management said private equity showed resilience in 2025 and began to “bounce back slowly” after a challenging period. Transaction volumes ended the year strongly, especially in the larger end of the market, and some initial public offerings launched successfully. Pantheon International emphasized its focus on the small and mid-market segment, where businesses are typically sold to corporate buyers or larger private equity firms, and noted it does not rely on public markets for exits.
Even so, management said high-profile large transactions and a buoyant IPO market can support sentiment across the broader market and may benefit the areas where the company is most active. It added that smaller and mid-sized companies can become acquisition targets for larger managers looking to deploy capital.
Management said it is seeing early signs of recovery in its portfolio, including an increase in exit volumes, though still below long-term averages. The distribution rate improved from 12% to 15% over the six-month period, and Pantheon International generated net portfolio cash flow of GBP 83.1 million, compared with GBP 45 million in the prior year period. Over the last 10 years, management said the portfolio has generated GBP 1.5 billion of net cash.
Looking into 2026, management said it has a constructive outlook, citing building momentum in private equity deal flow. The company said it has agreed a clear strategic plan with the board and believes it is well positioned to deliver improved NAV progression over the medium term.
About Pantheon International (LON:PIN)
Pantheon International Plc (PIN) is an investment trust that provides investors with differentiated access to a global, diversified portfolio of private equity-backed companies through a flexible and active investment approach. Through its commitments to some of the world’s best private equity managers that might otherwise be inaccessible to individual investors, PIN makes the private, public.
Launched in 1987 and a constituent of the FTSE 250, PIN is a company of scale and one of the longest established private equity funds on the London Stock Exchange.
