Caledonia Investments: FY26: Robust period for private asset performance

Research evidence excerpt

Caledonia Investments: FY26: Robust period for private asset performance

Equity Research

European Investment Companies

19 May 2026

Caledonia Investments

FY26: Robust period for private

asset performance First Look

5.4% FY return with H2 driven by direct private investments CLDN.L/CLDN LN OVERWEIGHT

NEUTRALand fund exposures. Realisation activity remains robust EuropeanCompaniesInvestment

across private assets. The balance sheet is in a very strong Price Target GBp 420

position with the Stonehage Fleming proceeds due Price (18-May-26) GBp 372 Potential Upside/Downside +13.1%

Source: Bloomberg, Barclays Researchimminently. We continue to view the shares as undervalued.

5.4% FY26 NAV TR: CLDN reported NAV per share of 567.6p at 31 March 2026, broadly European Investment Companies

unchanged versus 566p at September 2025, implying a muted period in H2 (+1%) due to the Conor Finn, CFA

+44 (0)20 7116 6066public market sell-off in March, while the 12-month NAV total return was 5.4%. The second-half

conor.finn@barclays.com

performance was supported by gains in Private Capital and Funds, which were offset by weaker

Barclays, UK

public market performance. Performance across the asset classes was as follows:

Rishikesh Panathuparambil Suresh

•• Public companies (32% of portfolio): 1.2% return in FY2026 (H1: 9.9%) and 2.6% in local +91 (0)22 6175 4071

currency terms. By segment, the capital portfolio generated 1.5% and the income portfolio rishikesh.suresh@barclays.com

Barclays, UK returned 0.4%.

•• Private capital (direct positions in UK companies): 13.1% FY return (H1: 7.7%) Aside from

Stonehage Fleming (see below), the majority of gains were due to AIR-serv (+24%) as the

business expansion into Europe progresses. Valuation multiples range from 10x-14.5x with