Impax is a market leading and multi award winning manager of both listed and private equity funds, which invest in ways that take advantage of more environmentally sustainable corporate and economic growth globally.
On 31 August 2021, two months into financial Q4 and 11 months into FY21, AUM reached £38.0bn, substantially above our forecast year-end (30 Sep 21) estimate of £34.5bn. AUM jumped £3.6bn in the first two months of Q4, and is now 88% above the closing level of FY20 (£20.2bn).
Impax is obviously benefitting from the structural shift towards sustainable investing, but it is important to highlight that it is flying faster than these market tailwinds. Globally, over the first six months of (calendar-year) 2021 the total assets managed by sustainable funds grew by 32% from US$1.7trn to US$2.2trn. Impax’s AUM grew by 37% from £25.2bn to £34.4bn over the same period.
This sets Impax up to almost certainly exceed our existing year-end forecasts of revenue (£134m), adjusted operating profit (£45m), and net cash (£54m) by some margin.Impax has previously provided in early October a more detailed breakdown of its AUM position for the full financial year: such time would be appropriate for us to update our forecasts and valuation.