Liquidity Focus Intensifies as CD2 Completes Full Exit from Underlying Manager
CD Private Equity Fund II announces a $0.38 per unit distribution reflecting recent portfolio realisations, delivering nearly double the initial investment in returns since inception.
- Distribution of $0.38 per unit declared
- Total distributions of $3.03 per unit since inception
- Represents a 1.89 times return on initial investment
- Full exit from an underlying manager completed
- Focus on liquidity and orderly capital return continues
Distribution Announcement and Portfolio Realisations
CD Private Equity Fund II (ASX – CD2) has declared a distribution of $0.38 per unit, payable around 24 February 2026. This latest payout reflects proceeds from recent portfolio realisations, including a significant milestone – the full exit from an underlying manager within the fund’s holdings. The announcement underscores the fund’s ongoing strategy to crystallise value and return capital to unitholders in an orderly manner.
Strong Returns Since Inception
Since its inception, unitholders have received total distributions amounting to $3.03 per unit, representing a 1.89 times return on their initial $1.60 investment. This performance highlights the fund’s ability to generate meaningful cash returns over its lifecycle, a key metric for investors seeking income alongside capital growth in private equity exposure.
Distribution History and Fund Management
The fund’s distribution pattern over the past 12 months shows a steady flow of income, with declared distributions of $0.12 per unit in May 2025, $0.06 per unit in September 2025, and now $0.38 per unit in January 2026. K2 Asset Management Ltd, the responsible entity, continues to actively assess liquidity options across the portfolio, aiming to maximise value and facilitate further capital returns to unitholders.
Looking Ahead
Unitholders are encouraged to keep their payment details and tax information up to date to ensure smooth distribution processing. The fund’s forthcoming 12-H report, expected no earlier than 23 February 2026, will provide more comprehensive financial details and insights into portfolio developments. Investors will be watching closely for further realisations and the fund’s approach to managing liquidity in the evolving private equity landscape.
Bottom Line?
With strong returns and ongoing portfolio exits, CD Private Equity Fund II is poised to maintain momentum in returning capital to investors.
Questions in the middle?
- Which underlying manager was fully exited and what impact does this have on future returns?
- How will the fund balance liquidity needs with potential new investments or portfolio adjustments?
- What are the prospects for future distributions given current market conditions and portfolio composition?
