Malibu Life Holdings Limited - Half-year Report
Interim Report and Unaudited Condensed
Interim Financial Statements
For the period ended
Financial Highlights
As at
Net Asset Value per Share
+1.7%
30.06.2025:
31.12.2024:
Share Price
+3.2%
30.06.2025:
31.12.2024:
Performance for the Period 30.06.2025 31.12.2024 Change Net Assets ($'000s)* 564,536 567,106 -0.5% Ordinary Shares in Issue 17,392,389 17,770,129 -2.1% NAV per Share$32.46 $31.91 1.7% Share price$25.90 $25.10 3.2% Share price discount to NAV per Share -20.2 -21.3 -5.2%
Current and Historical Performance (%) Since TPIL 6 Months 1 Year 3 Year 5 Year 10 Year Inception Third Point Investors Limited 1.7% 14.9% 9.1% 10.5% 7.0% 8.1% (NAV) Third Point Investors Limited 3.2% 15.9% 4.3% 12.1% 5.0% 7.2% (Share Price) S&P 500 Index 6.2% 15.2% 19.7% 16.6% 13.6% 10.3% MSCI World Index 9.8% 16.8% 18.9% 15.1% 11.3% 7.9%
* Reflects the total AUM less borrowings and other liabilities of
Chairman's Statement
Dear Shareholder,
For the half year to
In Q1, the Company repurchased approximately 299,000 shares for
Market conditions were shaped by two contrasting forces: continued optimism in AI-driven investments and heightened volatility from
Strategic Initiative
In
The Board strongly believes these initiatives will, over time, generate superior risk-adjusted returns by positioning the Company to capitalise on compelling economic and demographic tailwinds in the
All resolutions required to implement the Board's proposed strategy were approved by a majority of shareholders at the EGM in August. The Board is now focused on executing the approved plan without delay.
On behalf of the Board, I would like to extend sincere thanks to the Strategy Committee for their exceptional commitment and diligence over the past year in delivering what we believe will be a transformative and value-accretive outcome for the Company and its shareholders.
AGM / EGM
All resolutions proposed at both the AGM and EGM were passed by shareholders. The Board notes that certain resolutions were passed by less than 80% support. Under LSE listing rules the Board will report back to shareholders within six months the results of their findings.
Governance
Following the approval of the EGM resolutions, both
The Board is pleased to welcome
The Board is happy to welcome
Outlook
The Company completed the acquisition of
With the strategic transformation complete, the focus is on disciplined execution of the business plan which projects growth driven by the signing of further annuity reinsurance contracts as well as building inhouse origination capabilities either organically or by the acquisition of a platform. The Company targets approximately
As capital is required to fund regulatory capital requirements for the growing annuity reinsurance portfolio as well as for the direct insurance platform, the Company will progressively reduce exposure to the
Chairman
PORTFOLIO
Investment Manager's Review
For the six months ended
While not without forceful twists and turns to start the year, markets eventually climbed a wall of worry in 1H 2025, shrugging off concerns about the sustainability of AI enthusiasm, geopolitical strife, and the spectre of an escalating global trade war to end the first half on an upbeat note. However, it was difficult to see sunny skies ahead amidst the cloud cover of tariffs earlier in the year. During Q1, Third Point moved to take down its Equity net exposures, both through sales of certain long positions and by increasing portfolio hedges. These moves helped the Investment Manager protect capital during the volatility that peaked in the first week of April. That also allowed Third Point to be on its front foot by mid-April, when the most punitive tariff proposals were delayed or scuttled and the market snapped back in late April and into May and June. Third Point built its exposures back up in mid-April, mostly by investing in event-driven, activist, and risk arbitrage positions that it thought would be relatively insulated from a choppier market due to their catalyst-driven nature.
One of the event-driven positions Third Point added to during that period of volatility was US Steel, which Third Point started building in February but added to substantially during the volatility of April. The Investment Manager was confident that Nippon Steel's acquisition of the company - previously in doubt because of political wrangling - would go forward as it aligned with the Trump administration's onshoring goals. Trump announced his support for the deal in May and the deal closed in June. The position was a top individual contributor for the year-to-date period.
The largest detractor for the period was the Investment Manager's longheld position in Pacific Gas & Electric Co. (PCG). In Q1 2025, the
Elsewhere in the equity portfolio, names with exposure to the AI theme have also been large contributors for the year, including Siemens Energy, Nvidia, Vistra, TSMC and Talen - all of which are expressions of the insatiable compute and energy demands of AI. After a period of weakness in the first few months of the year, these names outperformed in the back half of the period as there was building evidence that AI adoption was continuing to expand rapidly.
In Corporate Credit, year-to-date performance lagged the ICE BofA US high yield index primarily due to costs associated with hedges made to protect capital during the downturn in late Q1/early Q2, as well as disappointing results from several credits during Q1. Third Point took the opportunity to add exposure to two of the three laggards. Like equities, credit experienced extraordinary volatility during the period, with spreads widening by +100bps in the wake of "Liberation Day", only to recover quickly. While Third Point has been able to identify opportunities to capitalize on brief credit dislocations in the past, this was over in days and did not reach the levels or liquidity that make committing substantial capital easy. Third Point increased exposure on the back end of the spread spike as the tariff rhetoric was dialed down. In Structured Credit, the demand for
Outlook
In spite of the geopolitical fires still smoldering, Third Point remains constructive on the overall risk-taking environment and has kept its equity net exposures consistently in the high 60s/low 70s since mid-April. While there will continue to be a lot of noise on trade policy, Third Point believes the
Massive technological shifts are also afoot, which Third Point believes will create winners and losers in equities as well as opportunities in credit. While longevity in investing brings about aches and pains, it also aids in one of the most important skills in investing: pattern recognition. In 2014, energy was the largest sector in the high yield credit market at about 18% and "fracking" dramatically shifted the cost curve for oil and gas production. Not only was credit's energy sector eviscerated, but the malaise spread across the entire credit universe (exacerbated by a slowdown in
Today the largest sector of the leveraged loan universe is technology, at about 17%. While a lot remains to be seen about the impact of AI technology on software providers, Third Point believes that, like fracking, AI represents a massive downward shift in the cost curve. In the Investment Manager's view, there will doubtless be beneficiaries in the space, but the firm suspects that it will be a challenging transition for legacy software suppliers, especially highly leveraged ones with a limited ability to reinvest. Third Point is presently underweighting this sector in its credit portfolio, but is spending a lot of time here as there are already a number of stressed/distressed credits. If this unfolds as Third Point thinks it might, AI might do for credit in 2025/26 what fracking did in 2015/16.
Portfolio Analysis
As at
Exposure
Portfolio Detail 1 Long Short Net 2
Equity
Activism/Constructivism 6.9% 0.0% 6.9%
Fundamental & Event 110.5% -24.2% 86.3%
Portfolio Hedges 3 0.0% -18.8% -18.8%
Total Equity 117.4% -43.0% 74.4%
Credit
Corporate & Sovereign 16.1% -0.2% 15.9%
Structured 18.3% -0.1% 18.2%
Total Credit 34.4% -0.3% 34.1%
Privates 5.4% 0.0% 5.4%
Other 4 3.2% 0.0% 3.2%
Total Portfolio 160.4% -43.3% 117.1%
Exposure
Equity Portfolio Detail 1 Long Short Net 2
Equity Sectors
Consumer Discretionary 14.8% -3.0% 11.7%
Consumer Staples 11.9% -5.9% 6.0%
Utilities 12.5% -2.2% 10.3%
Energy 0.0% -0.3% -0.3%
Financials 32.0% -1.2% 30.8%
Healthcare 1.5% -0.3% 1.2%
Industrials & Materials 23.7% -3.6% 20.1%
Enterprise Technology 14.4% -2.0% 12.5%
Media & Internet 6.6% -5.7% 0.9%
Portfolio Hedges 3 0.0% -18.8% -18.8%
Total 117.4% -43.0% 74.4%
1
Unless otherwise stated, information relates to
2 Net equity exposure is defined as the long exposure minus the short exposure of all equity positions (including long/short, arbitrage, and other strategies), and can serve as a rough measure of the exposure to fluctuations in overall market levels. The Investment Manager continues to closely monitor the liquidity of the portfolio and is comfortable that the current composition is aligned with the redemption terms available to the Company by virtue of its holding of Class YSP shares.
3 Primarily broad-based market and equity-based hedges.
4 Includes currency hedges and macro investments. Rates and foreign exchange related investments are excluded from the exposure figures.
The sum of long and short exposure percentages may not visually add to the corresponding net figure due to rounding.
GOVERNANCE
Interim Strategic Report
The Directors submit their Interim Report, together with the Statement of Assets and Liabilities, Statement of Operations, Statement of Changes in Net Assets, Statement of Cash Flows and the related notes of
The Interim Report and Unaudited Condensed Interim Financial Statements have been properly prepared, in accordance with applicable Guernsey law and accounting principles generally accepted in
The Company
The Company was incorporated in Guernsey on
The Ordinary Shares of the Company are quoted on the LSE in two currencies, US Dollars and Pounds Sterling.
The Company was a member of the
At the time of its listing, the Company adopted a share structure which was common at that time to mitigate the risk of the Company losing its status as a `foreign private issuer' under US securities laws.
The Company has two classes of shares in issue: (i) Ordinary Shares which have economic and voting rights and (ii) Class
The Class
VoteCo is specifically excluded from voting from any of the twelve Listing Rules Specified Matters, being those matters in relation to which the Listing Rules require a resolution to be passed only by holders of listed shares, the most notable of which are:
any proposal to make a material change to the investment policy
any proposal to approve the entry into a related party transaction
the annual re-election of any non-independent director
At the time of the Company's listing, it entered into a Support and Custody Agreement with VoteCo under which VoteCo agreed to hold the Class
Investment Objective and Policy
The Company's investment objective has been to provide its Shareholders with consistent long term capital appreciation utilising the investment skills of
Prior to restructuring, the
On
The Investment Manager identifies opportunities by combining a fundamental approach to single security analysis with a reasoned view on global, political and economic events that shape portfolio construction and drives risk management.
The Investment Manager seeks to take advantage of market and economic dislocations and supplements its analysis with considerations of managing overall exposures across specific asset classes, sectors, and geographies by evaluating sizing, concentration, risk, and beta, among other factors. The resulting portfolio expresses the Investment Manager's best ideas for generating alpha and its tolerance for risk given global market conditions. The Investment Manager is opportunistic and often seeks a catalyst that will unlock value or alter the lens through which the broad market values a particular investment. The Investment Manager applies aspects of this framework to its decision-making process, and this approach informs the timing of each investment and its associated risk.
The Company has substantially all of its holding in the
Any Ordinary Shares bought for the Company's account (e.g. as part of the buyback programme) traded mid-month will be purchased and held by the
The Board announced in
As a result of this transaction, the Company transitioned from an investment company to a reinsurance operating company. The transaction will be accounted for using the acquisition method in accordance with ASC 805 - Business Combinations, and the financial results of Malibu will be consolidated from the acquisition date in accordance with ASC 810 - Consolidation.
In connection with the acquisition, the Company adopted a new trading ticker symbol, MLHL, and initiated its redomiciliation from Guernsey to the
Results and Share Buybacks
In the period from
Key Performance Indicators (KPIs)
As a result of the acquisition of Malibu, the board will devise and report on a range of KPIs aligned to the revised business of the Company.
Signed on behalf of the Board by:
Chairman
Richard Boléat
Director
Directors' Report
Corporate Governance
The Board has historically been guided by the principles and recommendations of the
Internal Control and Financial Reporting
The Directors acknowledge that they are responsible for establishing and maintaining the Company's system of internal control and reviewing its effectiveness. Internal control systems are designed to manage rather than eliminate the failure to achieve business objectives and can only provide reasonable but not absolute assurance against material misstatements or loss.
The Directors review all controls including operations, compliance and risk management. The key procedures which have been established to provide internal control are:
The Board considers the process for identifying, evaluating and managing any significant risks faced by the Company on an on-going basis. It seeks to ensure that effective controls are in place to mitigate these risks and that a satisfactory compliance regime exists to ensure all local and international laws and regulations are upheld;
The Board clearly defines the duties and responsibilities of its agents and advisors and appointments are made by the Board after due and careful consideration. The Board monitors the ongoing performance of such agents and advisors;
The Company's Investment Manager and the Administrators maintain their own systems of internal control, on which they report to the Board; and
The Company and the Audit Committee have considered the need for an internal audit function, but because of the internal control systems in place at the Investment Manager and the Administrator, have decided it is appropriate to place reliance on their systems and internal control procedures; and
The systems are designed to ensure effectiveness and efficient operation, internal control and compliance with laws and regulations. In establishing the systems of internal control, regard is paid to the materiality of relevant risks.
Management of Principal Risks and Uncertainties
In considering the risks and uncertainties facing the Company, the Audit Committee reviews regularly a matrix which documents the principal and emerging risks and reports its findings to the Board.
This discipline is in accordance with the Guidance on Risk Management, Internal Control and Related Financial and Business Reporting, published by the FRC and has been in place for the period under review and up to the date of approval of the Interim Report and Unaudited Condensed Interim Financial Statements.
The risk matrix document considers the following information:
Reviewing the risks faced by the Company and the controls in place to address those risks;
Identifying and reporting changes in the risk environment;
Identifying and reporting changes in the operational controls; and
Identifying and reporting on the effectiveness of controls and remediation of errors arising.
The Directors have acknowledged they are responsible for establishing and maintaining the Company's system of internal control and reviewing its effectiveness by focusing on four key areas:
Consideration of the investment management services provided by the Investment Manager;
Consideration of the process for identifying, evaluating and managing any significant current and emerging risks faced by the Company on an ongoing basis;
Clarity around the duties and responsibilities of the agents and advisors engaged by the Directors; and
Reliance on the Investment Manager and Administrator maintaining their own systems of internal control.
Further discussion on Internal Control is documented under "Internal Control and Financial Reporting" set out above.
The risk matrix considers all the significant risks to which the Company has been exposed during the financial period and, from these, the Directors paid particular attention to the following principal risks and uncertainties:
Shareholder relations
Valuation of investments
Valuation of liabilities
Concentration of the Investor Base
Underlying investment performance of the Company's assets
Geopolitical and economic risk
Performance of the Investment Manager
As a result of the completion of the acquisition of Malibu, the Company has begun its transformation into a reinsurance operating company. The risk profile of the Company will change and new principal risks and uncertainties will emerge. These will be reviewed and monitored by the board as appropriate.
Going Concern
On
As required,
On that basis, after due consideration, and having made due enquiry of the Investment Manager, the Directors are satisfied that it is appropriate to continue to adopt the going concern basis in preparing these Unaudited Condensed Interim Financial Statements for the period through
There were no events during the financial period which, in the opinion of the Directors, may have had a material impact on the Unaudited Condensed Interim Financial Statements for the period ended
Statement of Directors' Responsibilities in Respect of the Unaudited Condensed Interim Financial Statements
The Directors are responsible for preparing the Unaudited Condensed Interim Financial Statements in accordance with applicable Guernsey Law and accounting principles generally accepted in
The Directors are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the Company and to enable them to ensure that the Unaudited Condensed Interim Financial Statements comply with The Companies (Guernsey) Law, 2008. They are also responsible for the system of internal controls, safeguarding the assets of the Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The Directors have responsibility to confirm that:
the Interim Report and Unaudited Condensed Interim Financial Statements have been prepared in accordance with accounting principles generally accepted in
the Interim Report and Unaudited Condensed Interim Financial Statements provide a fair review of the information required by:
a) DTR 4.2.7 of the Disclosure and Transparency Rules (DTR), being an indication of important events that have occurred during the first six months of the financial year 2025 and their impact on the Interim Report and Unaudited Condensed Interim Financial Statements and a description of the principal risks and uncertainties for the remaining six months of the year; and
b) DTR 4.2.8 of the DTR, being related party transactions that have taken place in the first six months of the current financial year 2025 and that have materially affected the financial position or performance of the Company during the six-month period ended
Significant Events
On
The Company continues to hold its investment in the
On
The acquisition of Malibu was approved by shareholders at an EGM on
There were no other events during the financial period outside the ordinary course of business which, in the opinion of the Directors, may have had an impact on the Unaudited Condensed Interim Financial Statements for the period ended
Chairman
Richard Boléat
Director
INDEPENDENT REVIEW REPORT
Independent Review Report to
Conclusion
We have been engaged by
Based on our review, nothing has come to our attention that causes us to believe that the Unaudited Condensed Interim Financial Statements for the six months ended
Basis for Conclusion
We conducted our review in accordance with International Standard on Review Engagements 2410 (
As disclosed in Note 3, the Annual Financial Statements of the Company are prepared in accordance with US GAAP. The Unaudited Condensed Interim Financial Statements have been prepared in accordance with US GAAP.
Conclusions Relating to Going Concern
Based on our review procedures, which are less extensive than those performed in an audit as described in the Basis of Conclusion section of this report, nothing has come to our attention to suggest that management have inappropriately adopted the going concern basis of accounting or that management have identified material uncertainties relating to going concern that are not appropriately disclosed.
This conclusion is based on the review procedures performed in accordance with International Standard on Review Engagements 2410 (
Responsibilities of the Directors
The Directors are responsible for preparing the Interim Report and Unaudited Condensed Interim Financial Statements in accordance with the Disclosure Guidance and Transparency Rules of the
In preparing the Interim Report and Unaudited Condensed Interim Financial Statements, the Directors are responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Directors either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so.
Auditor's Responsibilities for the Review of the Financial Information
In reviewing the Interim Report and Unaudited Condensed Interim Financial Statements, we are responsible for expressing to the Company a conclusion on the Unaudited Condensed Interim Financial Statements. Our conclusion, including our Conclusions Relating to Going Concern, are based on procedures that are less extensive than audit procedures, as described in the Basis for Conclusion paragraph of this report.
Use of our Report
This report is made solely to the Company in accordance with guidance contained in International Standard on Review Engagements 2410 (
Guernsey
Notes:
(1) The maintenance and integrity of the Company's website is the sole responsibility of the Directors; the work carried out by the auditors does not involve consideration of these matters and, accordingly, the auditor accepts no responsibility for any changes that may have occurred to the financial statements since they were initially presented on the website.
(2) Legislation in Guernsey governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
UNAUDITED CONDENSED INTERIM FINANCIAL STATEMENTS
Statement of Assets and Liabilities
30 June 2025 31 December 2024 (unaudited) (audited) Notes US$ US$ Assets Investment in Third Point Offshore Fund, Ltd. at fair value (Cost:US$208,517,940 ; 31 3 548,597,176 549,212,373 December 2024:US$200,412,373 ) Investment in Participation Note 3 18,030,308 16,340,602 Cash and cash equivalents 2,807,029 250,194 Due from broker 13,418 13,186 Redemptions receivable - 3,266,033 Other assets 80,798 48,185 Total assets 569,528,729 569,130,573 Liabilities Accrued expenses and other liabilities 4,967,849 2,008,899 Administration fee payable 24,786 15,981 Total liabilities 4,992,635 2,024,880 Net assets 564,536,094 567,105,693 Number of Ordinary Shares in issue6 US Dollar Shares 17,392,389 17,770,129 Net asset value per Ordinary Share 8,11 US Dollar Shares$32.46 $31.91 Number of Ordinary B Shares in issue6 US Dollar Shares 11,594,928 11,846,754
The financial statements were approved by the Board of Directors on
Chairman
Richard Boléat
Director
See accompanying notes and the unaudited condensed interim financial statement of
Statement of Operations
30 June 2025 30 June 2024 (unaudited) (unaudited) Notes US$ US$ Realised and Unrealised gain from investment transactions allocated fromMaster Fund Net realised loss from securities, derivative (42,980,989) (12,585,640) contracts and foreign currency translations Net change in unrealised gain on securities, derivative contracts and foreign currency 62,498,106 63,546,038 translations Net gain from currencies 1,009,827 123,296 Total net realised and unrealised gain from investment transactions allocated from Master 20,526,944 51,083,694 Fund Net investment gain allocated fromMaster Fund Interest income 11,912,572 12,612,680 Dividends, net of withholding taxes of 1,380,165 1,808,609US$185,496 ; (30 June 2024 :US$560,323 ) Other income 1,666,797 1,165,999 Incentive Allocation (5,142,216) - Interest expense (4,579,915) (7,327,094) Investment Management fee (3,382,262) (3,600,933) Dividends on securities sold, not yet purchased (1,186,727) (830,020) Stock borrowing fees (25,284) (50,352) Other expenses (833,288) (1,531,662) Total net investment (loss)/gain allocated from (190,158) 2,247,227 Master Fund1 Company expenses Administration fee 4 (85,207) (58,707) Directors' fees 5 (223,949) (204,160) Strategic review fee2 (12,000,000) - Other fees (846,426) (1,042,030) Expenses paid on behalf of Third Point Offshore (79,594) (43,798)Independent Voting Company Limited3Total Company expenses 4 (13,235,176) (1,348,695) Net (loss)/gain (13,425,334) 898,532 Net increase in net assets resulting from 7,101,610 51,982,226 operations
1
Net investment gain/(loss) allocated from the
2
On
3
Expenses paid on behalf of
See accompanying notes and the unaudited condensed interim financial statement of
Statement of Changes in Net Assets
30 June 2025 30 June 2024 (unaudited) (unaudited) Notes US$ US$ Change in net assets resulting from operations Net realised loss from securities, commodities, derivative contracts and foreign currency (42,980,989) (12,585,640) translations allocated fromMaster Fund Net change in unrealised gain on securities, derivative contracts and foreign currency 62,498,106 63,546,038 translations allocated fromMaster Fund Net gain from currencies allocated from Master 1,009,827 123,296 Fund Total net investment (loss)/gain allocated from (190,158) 2,247,227 Master FundTotal Company expenses (13,235,176) (1,348,695) Net increase in net assets resulting from 7,101,610 51,982,226 operations Decrease in net assets resulting from capital share transactions Share redemptions 6 (9,671,209) (176,666,159) Net assets at the beginning of the period 567,105,693 637,967,666 Net assets at the end of the period 564,536,094 513,283,733
See accompanying notes and the unaudited condensed interim financial statement of
Statement of Cash Flows
30 June 2025 30 June 2024 (unaudited) (unaudited) Notes US$ US$ Cash flows from operating activities Operating expenses (9,934,747) (755,353) Interest received / (paid) 7,103 361,771 Directors' fees (209,525) (204,160) Administration fee (76,402) (55,576) Expenses paid on behalf of Third Point Offshore (79,594) (43,798)Independent Voting Company Limited Change in investment in the Master Fund 12,850,000 2,753,932 Cash inflow from operating activities 2,556,835 2,056,816 Net increase in cash 2,556,835 2,056,816 Cash and cash equivalents at the beginning of 250,194 190,603 the period Cash and cash equivalents at the end of the 2,807,029 2,247,419 period
30 June 2025 30 June 2024 (unaudited) (unaudited) Notes US$ US$ Supplemental disclosure of non-cash transactions from: Operating activities Subscriptions (30,936,179) (138,989,490) Redemption of Company Shares from Master Fund 6 9,671,209 157,959,579 Financing activities Share redemptions 6 (9,671,209) (18,970,089) Investment in Participation Note 1,859,574 10,838,559
See accompanying notes and the unaudited condensed interim financial statement of
Notes to the Unaudited Condensed Interim Financial Statements
For the period ended
1. The Company
2. Organisation
Investment Objective and Policy
For the period under review, the Company's investment objective has been to provide its Shareholders with consistent long-term capital appreciation, utilising the investment skills of
Prior to restructuring, the
On
Investment Manager
The Investment Manager is a limited liability company formed on
During the period ended
Class YSP shares are subject to a 25% investor level gate. The Company's investment in the
The
3. Significant Accounting Policies
Basis of Presentation
These Unaudited Interim Condensed Financial Statements have been prepared in accordance with relevant accounting principles generally accepted in
The Directors have determined that, for the period under review, the Company has been an investment company in conformity with US GAAP. Therefore the Company follows the accounting and reporting guidance for investment companies in the
The following are the significant accounting policies adopted by the Company:
Cash and cash equivalents
Cash and cash equivalents in the Statement of Assets and Liabilities and for the Statement of Cash Flows is unrestricted and comprises cash at bank.
Due from Broker
Due from broker includes cash balances held at the Company's clearing broker,
Redemptions Receivable
Redemptions receivable are capital withdrawals from the
Valuation of Investments
The Company records its investment in the
The Board has concluded specifically that climate change, including physical and transition risks, does not have a material impact on the recognition and separate measurement considerations of the assets and liabilities of the Company in the financial statements as at
The following schedule details the movements in the Company's holdings in the
Net Asset Shares Shares Value Net Asset held at Shares Shares Shares Per Shares Shares Share held at Value at 01 Rolled Transferred Transferred adjustments1 Share January Issued Redeemed 30 June at 30 Up In Out 2025 2025 30 June 2025 June 20252 Class YSP - 1.25, 1,241,926 - - - - (81,231) (213) 1,160,482 445.38 516,851,657 Series 1-1 Class YBSP-1.25, 149,716 - - - - (145,561) 1 4,156 113.69 472,460 Series 6 Class YBSP-1.25, 3,000 - - - - - - 3,000 112.29 336,879 Series 7 Class YBSP-1.25, - - - - 309,362 - - 309,362 100.00 30,936,180 Series 8 Total 548,597,176
1 Share adjustments relate to transfers from the portion of shareholders' capital attributable to Legacy Private Investments.
2 Rounded to two decimal places.
A portion of the Company's investment in the
The valuation of securities held by the
The Company has adopted ASU 2015-07, Disclosures for Investments in Certain Entities that calculate Net Asset Value per Share (or its equivalent) (`ASU 2015-07'), in which certain investments measured at fair value using the net asset value per share method (or its equivalent) as a practical expedient are not required to be categorised in the fair value hierarchy. Accordingly the Company has not levelled applicable positions.
Uncertainty in Income Tax
ASC Topic 740 `Income Taxes' requires the evaluation of tax positions taken or expected to be taken in the course of preparing the Company's tax returns to determine whether the tax positions are `more- likely-than-not' of being sustained by the applicable tax authority based on the technical merits of the position. Tax positions deemed to meet the `more-likely-than-not' threshold would be recorded as a tax benefit or expense in the year of determination. Management has evaluated the implications of ASC 740 and has determined that it has not had a material impact on these Unaudited Condensed Interim Financial Statements.
Income and Expenses
The Company records its proportionate share of the
Use of Estimates
The preparation of Unaudited Condensed Interim Financial Statements in conformity with US GAAP may require management to make estimates and assumptions that affect the amounts and disclosures in the financial statements and accompanying notes. Actual results could differ from those estimates. Other than what is underlying in the
Going Concern
On
As required,
On that basis, after due consideration, and having made due enquiry of Third Point, the Directors are satisfied that it is appropriate to continue to adopt the going concern basis in preparing these Unaudited Condensed Interim Financial Statements for the period through
Foreign Exchange
Investment securities and other assets and liabilities denominated in foreign currencies are translated into United States Dollars using exchange rates at the reporting date. Purchases and sales of investments and income and expense items denominated in foreign currencies are translated into United States Dollars at the date of such transaction. All foreign currency transaction gains and losses are included in the Statement of Operations.
Recent accounting pronouncements
The Company has not early adopted any standards, interpretation or amendment that has been issued but are not yet effective. The amendments and interpretations which apply for the first time in 2025 have been assessed and do not have an impact on the Unaudited Condensed Interim Financial Statements.
4. Material Agreements
Management and Incentive fees
The Investment Manager was appointed by the Company to invest its assets in pursuit of the Company's investment objectives and policies. As disclosed in Note 2, the Investment Manager is remunerated by
Administration Fees
Under the terms of an Administration Agreement dated
The Administrator is paid fees based on the NAV of the Company, payable quarterly in arrears. The fee is at a rate of 2 basis points of the NAV of the Company for the first £500 million of NAV and a rate of 1.5 basis points for any NAV above £500 million. This fee is subject to an annual minimum fee of £125,000 per annum. The Administrator is also entitled to an annual corporate governance fee of £60,000, payable in equal quarterly installments at the end of each quarter, for its company secretarial and compliance activities.
In addition, the Administrator is entitled to be reimbursed out-of-pocket expenses incurred in the course of carrying out its duties, and may charge additional fees for certain other services.
Total Administrator expenses during the period amounted to
VoteCo
The Company has entered into a support and custody agreement with
5. Directors' Fees
At the Annual General Meeting (AGM) in
The Directors' fees during the period amounted to
The current fee rates for the individual Directors are as follows:
Chairman £76,000
Audit Committee Chairman £57,000
Director £48,000
Senior Independent Director £3,000
Chairman of the Management Engagement Committee £3,000
Chairman of the
Chairman of the Strategy Committee £3,000
The Directors are also entitled to be reimbursed for expenses properly incurred in the performance of their duties as Director.
6.
The Company was incorporated with the authority to issue an unlimited number of Ordinary Shares (the `Shares') with no par value and an unlimited number of Ordinary B Shares (`B Shares') of no par value.
Number of Ordinary Shares US Dollar Shares
Shares issued as at the beginning of the period 17,770,129
Shares Cancelled
Shares cancelled during the period (377,740)
Total shares cancelled during the period (377,740)
Shares in issue at end of the period 17,392,389
US Dollar Shares
US$
Net assets at the beginning of the period 567,105,693
Shares Cancelled
Share value cancelled during the period (9,671,209)
Total share value cancelled during the period (9,671,209)
Net decrease in net assets resulting from operations 7,101,610
Net assets at end of the period 564,536,094
Number of Ordinary B Shares US Dollar Shares
Shares in issue as at the beginning of the period 11,846,754
Shares Cancelled
Shares cancelled during the period (251,826)
Total shares cancelled during the period (251,826)
Shares in issue at end of the period 11,594,928
Voting Rights
Ordinary Shares carry the right to vote at general meetings of the Company and to receive any dividends, attributable to the Ordinary Shares as a class, declared by the Company and, in a winding-up will be entitled to receive, by way of capital, any surplus assets of the Company attributable to the Ordinary Shares as a class in proportion to their holdings remaining after settlement of any outstanding liabilities of the Company. B Shares also carry the right to vote at general meetings of the Company but carry no rights to distribution of profits or in the winding-up of the Company.
As prescribed in the Company's Articles of Incorporation, each Shareholder present at general meetings of the Company shall, upon a show of hands, have one vote. Upon a poll, each Shareholder shall, in the case of a separate class meeting, have one vote in respect of each Share or B Share held and, in the case of a general meeting of all Shareholders, have one vote in respect of each Share or B Share held. Fluctuations in currency rates will not affect the relative voting rights applicable to the Shares and B Shares.
Repurchase of Shares
Any Shares purchased are held by the
Any shares traded mid-month are purchased and held by the
Further Issue of Shares
Under the Articles of Incorporation, the Directors have the power to issue further shares on a non-pre-emptive basis. If the Directors issue further Shares, the issue price will not be less than the then-prevailing estimated weekly NAV per Share of the relevant class of Shares.
7. Taxation
The Company is exempt from taxation in Guernsey under the provisions of the Income Tax (Exempt Bodies) (Guernsey) Ordinance 1989.
8. Calculation of Net Asset Value
The NAV of the Company is equal to the value of its total assets less its total liabilities. The NAV per Share is calculated by dividing the NAV by the number of ordinary Shares in issue on that day.
9. Related Party Transactions
At
10. Significant Events
On
The Company continues to hold its investment in the
On
11. Financial Highlights
The following tables include selected data for a single Ordinary Share in issue at the period-end and other performance information derived from the Unaudited Financial Statements.
US Dollar Shares
US$
Per Share Operating Performance
Net Asset Value beginning of the period 31.91
Income from Operations
Net realised and unrealised gain from investment transactions allocated from
Net loss (0.76)
Total Return from Operations 0.44
Share buyback accretion 0.11
Net Asset Value, end of the period 32.46
Total return before incentive fee allocated from
Incentive allocation from
Total return after incentive fee allocated from
Total return from operations reflects the net return for an investment made at the beginning of the period and is calculated as the change in the NAV per Ordinary Share during the period ended
US Dollar Shares
US$
Per Share Operating Performance
Net Asset Value beginning of the period 25.43
Income from Operations
Net realised and unrealised gain from investment transactions allocated from
Net loss (0.06)
Total Return from Operations 2.72
Share buyback accretion 0.17
Net Asset Value, end of the period 28.32
Total return before incentive fee allocated from
Total return after incentive fee allocated from
Total return from operations reflects the net return for an investment made at the beginning of the period and is calculated as the change in the NAV per Ordinary Share during the period ended
US Dollar Shares
US$
Supplemental data
Net Asset Value, end of the period 564,536,094
Average Net Asset Value, for the period 1 557,444,553
Ratio to average net assets
Operating expenses 2 (4.22%)
Incentive fee allocated from
Total operating expenses 2 (5.14%)
Net gain 3 (1.84%)
US Dollar Shares
US$
Supplemental data
Net Asset Value, end of the period 513,283,733
Average Net Asset Value, for the period 1 604,606,510
Ratio to average net assets
Operating expenses 2 (2.43%)
Total operating expenses 2 (2.43%)
Net gain 3 0.15%
1 Average Net Asset Value for the year is calculated based on published monthly estimates of NAV.
2
Operating expenses are Company expenses together with operating expenses allocated from the
3
Net gain is taken from the Statement of Operations and is the net investment gain / (loss) for the period allocated from the
12. Ongoing Charge Calculation
Ongoing charges for the period ended
Excluding performance fees
US Dollar Shares 6.41% 2.33%
Including performance fees
US Dollar Shares 9.19% 3.31%
13. Subsequent Events
On
On
In connection with the acquisition, the Company adopted a new trading ticker symbol, MLHL, and initiated its redomiciliation from Guernsey to the
Changes to the Board of Directors include the appointment of
On
On
The Directors confirm that, up to the date of approval of these financial statements on
ADDITIONAL INFORMATION
Investor Information
Expected Financial Calendar
Year end 31 December.
Annual results announced and Annual Report published in April.
Annual General Meeting held in May/June.
Interim results announced in September.
Website
Further information about the Company, including share price and NAV performance, monthly reports and quarterly investor letters, is available on the Company's website: www.malibulifeinsurance.com
Management and Administration As of
Directors
Richard Boléat*
PO Box 255, Trafalgar Court, Les Banques,
* These Directors are independent.
Investment Manager
55 Hudson Yards,
Auditors
PO Box 9,
St Julian's Avenue,
Registrar and CREST Service Provider
(formerly
Registered Office
PO Box 255, Trafalgar Court, Les Banques,
Administrator and Secretary
PO Box 255, Trafalgar Court, Les Banques,
Mourant
Receiving Agent
The Registry,
Beckenham, Kent, BR3 4TU,
Corporate Broker
100
Legal Information
Unless otherwise noted, all performance, portfolio exposure and other portfolio data included herein relates to
Past performance is not necessarily indicative of future results, and there can be no assurance that the Funds will achieve results comparable to those of prior results, or that the Funds will be able to implement their respective investment strategy or achieve investment objectives or otherwise be profitable.
All profit and loss or performance results are based on the Net Asset Value of fee-paying investors only and are presented net of management fees, brokerage commissions, administrative expenses, any other expenses of the Funds, and accrued incentive allocation, if any, and include the reinvestment of all dividends, interest, and capital gains. From Fund inception through
While the performances of the Funds have been compared here with the performance of well-known and widely recognised indices, the indices have not been selected to represent an appropriate benchmark for the Funds whose holdings, performance and volatility, among other things, may differ significantly from the securities that comprise the indices. Investors cannot invest directly in an index (although one can invest in an index fund designed to closely track such index). Indices performance includes reinvestment of dividends and other earnings, if any.
All information provided herein is for informational purposes only and should not be deemed as a recommendation or solicitation to buy or sell securities including any interest in any fund managed or advised by Third Point. All investments involve risk including the loss of principal.
Specific companies or securities shown in this interim report are for informational purposes only and meant to demonstrate Third Point's investment style and the types of industries and instruments in which the Funds invest and are not selected based on past performance. The analyses and conclusions of Third Point contained in this interim report include certain statements, assumptions, estimates and projections that reflect various assumptions by Third Point concerning anticipated results that are inherently subject to significant economic, competitive, and other uncertainties and contingencies and have been included solely for illustrative purposes. No representations, express or implied, are made as to the accuracy or completeness of such statements, assumptions, estimates or projections or with respect to any other materials herein. Third Point may buy, sell, cover or otherwise change the nature, form or amount of its investments, including any investments identified in this interim report, without further notice and in
This interim report includes statements that are, or may be deemed to be, "forward-looking statements". These forward-looking statements may be identified by the use of forward-looking terminology, including the terms "believes", "estimates", "plans", "goals", "objective", "rewards", "expectations", "signals", "projects", "anticipates", "expects", "achieve", "intends", "tends", "on track", "well placed", "continued", "estimated", "projected", "preliminary", "upcoming", "may", "will", "aims", "could" or "should" or, in each case, their negative or other variations or comparable terminology, or by discussions of strategy, plans, objectives, goals, targets, future events or intentions or loss estimates. Forward-looking statements include statements relating to the following: (i) future capital requirements, capital expenditures, expenses, revenues, unearned premiums pricing rate changes, terms and conditions, earnings, synergies, economic performance, indebtedness, financial condition, dividend policy, claims development, losses and loss estimates and future business prospects; and (ii) business and management strategies and the expansion and growth of the Company's operations.
Forward-looking statements may and often do differ materially from actual results. Forward-looking statements reflect the board's current view with respect to future events and are subject to risks relating to future events and other risks, uncertainties and assumptions relating to the Company's business, results of operations, financial position, liquidity, prospects, growth and strategies. These risks, uncertainties and assumptions include, but are not limited to: the possibility of greater frequency or severity of claims and loss activity than the Company's underwriting, reserving or investment practices have anticipated; effectiveness of the Company's risk management and loss limitation methods, including to manage volatility; the development of the Company's technology platforms; the impact that the Company's future operating results, capital position and ratings may have on the execution of its business plan, capital management initiatives or dividends; the Company's ability to implement successfully its business plan and strategy; the premium rates which are available within the Company's targeted business lines and at policy inception; the pattern and development of premiums as they are earned; increased competition on the basis of pricing, capacity or coverage terms and the related demand and supply dynamics; the successful recruitment, retention and motivation of key management and the potential loss of key personnel; the credit environment for issuers of fixed maturity investments in the Company's portfolio; the impact of Third Point's management of the Company's investment assets; the impact of the ongoing conflicts in
Forward-looking statements contained in this interim report may be impacted by emerging information regarding the escalation or expansion of the
The representative in
