Cordiant Digital Infrastructure Ltd (LSE:CORD) announced a 2p per share interim dividend for the six-month period to 30 September 2023 in line with its 4p full-year target as it reported a solid performance from its portfolio companies.
A total return of £9.4 million, or 1.2p per share, was reported for the period, 1.1% of opening net asset value (NAV) excluding dividends.
Higher discount rates and currency moves dragged on the net asset value, which decreased to 112.7p at end-September from 113.4p at the end of March, as the total return was offset by the previous dividend payment.
Evidence of underlying value creation within the portfolio was shown by strong operational performance, with portfolio earnings (EBITDA) up 5.5% to £55.5 million on a like-for-like pro forma, constant currency basis.
The recently completed Speed Fibre acquisition has increased portfolio diversification with investments now made in the Czech Republic, United States, Poland and Ireland.
CORD has since announced the €5.25 million acquisition of Norkring Belgie, which has yet to complete.
Chair Shonaid Jemmett-Page said the acquisition of Speed Fibre is additive to the portfolio as it offers additional cashflows, growth potential and further diversity in geography and asset class.
Jemmett-Page called it a "solid performance" despite the challenging economic conditions during the period, with the performance reflecting "the strength of its portfolio companies, which offer strong cashflows and growth opportunities in line with our Buy, Build & Grow model".
"With continued liquidity of £207 million, the company remains well positioned, and as such the Board looks forward to the second half of the year with confidence".
The specialist digital infrastructure investment trust said the shares will go ex-dividend on 7 December 2023 and the first interim dividend will be paid on 22 December.