(Correcting the reason for the year-on-year pretax profit decline.)

Pollen Street PLC on Thursday said that asset under management grew in 2022 following a ‘transformative year’ in which Pollen Street Capital Holdings Ltd and Honeycomb Investment Trust PLC combined.

The London, England-based asset manager said pretax profit fell to £26.8 million in 2022, from £30.3 million in 2021. On a proforma basis, pretax profit declined to £34.4 million from £34.8 million.

Total administration costs were 65% higher at £19.6 million from £11.9 million.

Assets under management in the year grew to £3.4 billion at December 31 from £3.0 billion at the same time a year prior, supported by a 36% rise in credit AuM.

Pollen Street noted that the fundraising market was more challenging over 2022 and into 2023, as managers reported that fundraises were smaller than expected or taking longer to complete.

It backed guidance for the medium-term, however, which it defines as two to three years from completion of the Pollen Street Capital and Honeycomb combination.

It targets £4 billion to £5 billion in fee-paying assets under management in the medium-term.

The net asset value at December 31 decreased 12% to 899.5 pence each from 1,019.1p at the same time a year prior. Net investment asset return over the year is 8.0%, down from 8.5% the year prior.

Pollen Street shares fell 1.9% to 544.76 pence each on Thursday in London.

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