Uncovering Trusts – HgT (HGT): Strong portfolio trading through the software sell-off

In this episode, our director of content for investment companies, Milosz Papst, talks about HgT (HGT), a listed private-equity investment company managed by Hg that gives shareholders exposure to more than 60 unquoted mission-critical B2B software and technology-enabled services businesses. Milosz covers HgT’s H126 results, including continued strong underlying trading, with 16% last-12-month revenue growth and 19% EBITDA growth across the portfolio. This was offset by lower valuation multiples amid the sell-off in public software, resulting in a 4.9% NAV total return decline. He discusses why Hg believes its portfolio is well positioned to benefit from AI, the progress at its largest holdings, Visma and IFS, and realisations above carrying value, including the Intelerad and Quantios exits. Milosz also touches on HgT’s outstanding commitments and extended credit facility, its new buyback framework, Hg’s plan to increase its combined stake to more than 15% and a discount to NAV that remains wide despite the recovery in software markets.

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About Uncovering Trusts: Uncovering Trusts is a podcast run by Edison analysts, which is released every two weeks. Subscribe to hear analyst interviews on how investment trusts maximise returns while managing risks for investors.