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3i investment returns slow down

Thursday 30 November 1995 19:02 EST
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3i investment returns slow down

3i, Europe's biggest provider of venture capital, has seen a slowdown in smaller company earnings this year. Rising at average rates of 25 per cent as the UK emerged from recession between 1993 and early 1994, profits growth at the companies in which 3i invests decelerated to nearer 15 per cent in the second half of 1994.

Despite this, 3i was still able to report a 13 per cent rise in total return to shareholders for the six months to September yesterday. Total return comprised pre-tax profits up from pounds 33m to pounds 42.2m and capital profits more than doubled from pounds 110m to pounds 239m, before currency translation adjustments. Now an investment trust, 3i's net asset value rose from 346p to 390p and the interim dividend goes up 11 per cent to 3.1p.

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