Shares trade from Friday
Baillie Gifford raises £173m for US Trust
Gary Robinson: will manage the portfolio
Baillie Gifford & Co., the independent investment partnership, has raised gross proceeds of £173 million for the launch of its US Growth Trust.
Shares will begin trading on the Main Market of the London Stock Exchange, with first day of dealings expected to be 23 March.
The funds raised are below the target of £250m when the trust was announced last month.
The company will focus on ‘exceptional growth companies’ in the US, which have the potential to grow substantially faster than the average company over the long term.
It will invest in both listed and unlisted companies, up to a combined maximum of 90 holdings, typically with 30 to 50 listed companies in the portfolio. The maximum amount invested in unlisted securities will not exceed 50% of total assets measured at time of investment.
The company’s portfolio will be managed by Gary Robinson and deputy managers, Helen Xiong and Andrei Kiselev, members of Baillie Gifford’s US Equities Team and managers of the £1.1 billion Baillie Gifford American Fund which has returned 151.9% over five years to 28 February 2018.
Tom Burnet has been appointed chairman, with Sue Inglis and Graham Paterson joining him as additional independent non-executive directors.
Andrew Telfer, joint senior partner, said: “To raise £173 million for a long only equity trust is an excellent achievement and an endorsement of our ability to find exceptional growth companies in both listed and unlisted space in the US.
“The Trust will seek to grow its assets from here through issuance at a premium to NAV in the way that most of the other trusts we manage have done over the past 12 months.”