Literacy Capital

Literacy Capital is a London-based closed-end investment company listed on the London Stock Exchange (LSE: BOOK), specializing in providing long-term capital to small and growing private businesses across the United Kingdom. Established with a dual mandate, the firm not only seeks to generate attractive returns for its shareholders but also commits a significant portion of its Net Asset Value (NAV) annually to literacy charities, fostering a unique philanthropic element within its investment model. This commitment sees 0.9% of their NAV donated each year, underscoring their dedication to social impact alongside financial performance.

The firm's investment strategy focuses on acquiring significant minority or majority stakes in established, profitable UK companies. They typically target businesses with an enterprise value ranging from £10 million to £100 million, seeking those with strong market positions, robust financial performance, and clear growth potential. Literacy Capital adopts a hands-on, supportive approach, partnering with experienced management teams to help scale their businesses through strategic guidance, operational improvements, and access to further capital. Their sector-agnostic approach allows them to consider opportunities across various industries, provided the underlying business fundamentals are sound.

For initial investments, Literacy Capital typically deploys capital ranging from £5 million to £25 million per company. This flexible check size allows them to support a diverse range of growth-stage businesses, from those requiring capital for expansion and acquisitions to management buy-outs. As a publicly listed entity, Literacy Capital offers investors a liquid way to access private equity returns, while its permanent capital base enables a patient, long-term investment horizon, distinguishing it from traditional time-limited private equity funds. As of recent reports, the firm manages an NAV of over £300 million, reflecting its substantial capacity to continue investing in promising UK enterprises.