Caledonia Investments plc (CLDN) has published its half-year results for the six months ended 30 September 2026, reporting a net asset value total return of 5.4% and net asset value per share of 594p, up from 568p at 31 March 2026. The self-managed investment trust, which operates across Public Companies, Private Capital and Funds pools, completed the sale of Stonehage Fleming for £290m — its largest private asset — generating a 3.2x multiple on invested cost and a 33% uplift to the March 2025 carrying value. Alongside an interim dividend of 3.84p per share, the board has declared a special dividend of 20p per share, representing an additional return of approximately 5% of market capitalisation to shareholders.

Key Points

  • Caledonia Investments plc (CLDN)
  • NAV total return of 5.4% for the six months to 30 September 2026, with NAV rising to £3,064m (594p per share)
  • Special dividend of 20p per share declared alongside interim dividend of 3.84p per share; £38m allocated to share buybacks at a weighted average discount of 37%
  • Investors may watch how reinvestment of Stonehage Fleming proceeds into Blue Diamond and Conquip Engineering progresses beyond initial cost valuations

Stonehage Fleming Sale Delivers £290m and 20% IRR for Caledonia's Private Capital Pool

The completion of the Stonehage Fleming disposal on 1 June 2026 marked a significant capital event for Caledonia. The multi-family office, which provides advisory services to ultra-high-net-worth clients, was sold for cash proceeds of £290m net of transaction expenses. The return represented a multiple on invested cost of 3.2 times, an IRR of 20%, and a 33% uplift relative to the 31 March 2025 carrying value. An additional contingent consideration has been restructured as a fixed payment of approximately £4m, payable on the second and third anniversaries of completion. The Private Capital pool, which targets UK mid-market businesses, has returned £1.4bn of realised proceeds at a 17% IRR since 2012.

Blue Diamond Garden Centres and Conquip Engineering Absorb £110m of Reinvested Capital

Caledonia deployed approximately £110m of the Stonehage Fleming proceeds into two new Private Capital investments. It acquired a 17.7% preferred minority stake in Blue Diamond, the UK and Channel Islands' largest garden centre operator, for £60m on 2 July 2026, with an additional framework agreed for up to £40m of further investment over five years. On 4 August 2026, it acquired a 61% majority stake in Conquip Engineering Group — a specialist infrastructure and utilities equipment business employing approximately 200 people — for £49.5m. Both investments are currently held at transaction cost with no valuation uplift recognised in the period, the announcement states.

All Three Investment Pools Contribute as Public Companies Return 12.3% in the Half

The investment portfolio, valued at £2.7bn at 30 September 2026, delivered a total return of 6.0% over the six months. The Public Companies pool led performance with a 12.3% return, driven partly by Hill & Smith and Texas Instruments, with the Capital portfolio valued at £709.2m and the Income portfolio at £271.2m. The Funds pool, comprising 83 funds managed by 46 managers with exposure to over 600 underlying companies across North America and Asia, returned 4.7%. Private Capital contributed 0.6%, with gains partially offset by a valuation reduction at Cooke Optics reflecting weaker demand for its cinematography lenses. Over ten years, the group's annualised NAVTR stands at 9.1%.

Special Dividend and £38m Buyback Programme Reflect Caledonia's Capital Allocation Discipline

The 20p special dividend carries a total cash cost of approximately £100m and is consistent with Caledonia's stated policy of returning capital to shareholders following significant realisations. The board also declared an interim ordinary dividend of 3.84p per share, a 4.3% increase on the prior year's interim dividend. Share buybacks of £38m were executed at a weighted average discount of 37%, producing NAV per share accretion of 4.3p, or 0.7%. Since March 2024, £137m has been allocated to buybacks, delivering 14.2p per share or 2.5% NAV per share accretion. The balance sheet retains £277m of cash and £325m of undrawn credit facilities.