(Alliance News) - Keystone Positive Change Investment Trust PLC on Wednesday said it is considering various avenues for the company's reconstruction, following weaker annual results.
The Edinburgh, Scotland-based investor in socially and environmentally-conscious companies said net asset value per share on September 30 was 242.0 pence, up 2.0% from 237.2p a year before.
However, the company's NAV total return over the past 12 months decreased to positive 2.2% from 7.0% in the prior financial year and was well below the 20% return of its benchmark, the MSCI all-country world index.
Though it reported an "encouraging" start to financial 2024, Keystone Positive Change said: "The second half of the year proved more challenging, with the NAV losing much of its first half gain, and the share price remaining flat".
The company declared a total dividend for the past 12 months 0.45p per share, unchanged from the year prior.
Keystone Positive Change announced in September it was considering various winding-up options and set a continuation vote for February 2027.
On Wednesday, it said a near-term transaction would "address the size of the company, the low liquidity in the company's shares and the discount at which they have been trading".
Keystone Positive Change has proposed a scheme for reconstruction which includes a potential rollover into Baillie Gifford Positive Change Trust PLC.
Chair Karen Brade said the company had not lost its conviction in investing for positive change, but "reluctantly" agreed to a winding-up proposal, "which will provide shareholders with an opportunity to continue their investment through the rollover option".
Brade explained: "We recognise that the company has not received sufficient support from shareholders to allow the current strategy the time needed to play out over the period to the February 2027 continuation vote that we recently introduced".
Keystone Positive Change said it will convene an annual general meeting if the general meetings already scheduled for early 2025 do not result in completion of the reconstruction scheme.
Keystone Positive Change shares were down 0.8% at 251.00p each on Wednesday afternoon in London.
By Holly Munks, Alliance News reporter
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