3i Group shares rise as celebrates solid growth at discounter Action

3i Group PLC on Thursday said that Action continued "its impressive growth trajectory" in its first financial quarter, while its private equity portfolio demonstrated resilience.

The London-based private equity firm investing in companies in Europe and North America said non-food discounter Action delivered operating earnings before interest, tax, depreciation and amortisation of EUR609 million in the three months to June 30, the first quarter of its financial year, up 18% from EUR516 million.

Net sales at Action rose 14% to EUR4.34 billion from EUR3.82 billion.

Meanwhile, Royal Sanders and the rest of the private equity portfolio continued to trade in line with expectations. 3i said it made a £118 million private equity investment in Nutergia in the first financial quarter. Nutergia is a natural food supplements brand based in Capdenac-Gare, France.

3i Chief Executive Officer Simon Borrows said: "Action continues its impressive growth trajectory with a very good result in its second quarter. Since the announcement of our full year results, Action has seen good performance with strong growth in transactions driven by seasonal products and continued good sales in fast moving consumer goods categories.

"Our private equity portfolio companies continue to demonstrate resilience, delivering operational progress and good cash generation."

3i shares rose 4.9% to 2,677.00 pence each on Thursday morning in London.

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