Digital 9 Infrastructure (DGI9 ) expects to announce its new fund manager as early as next month as the investment trust takes steps to sell stakes in its portfolio companies and let another of its investment borrow money.

In its 2022 results today the company said fund manager Triple Point had identified a candidate for head of digital infrastructure to replace Thor Johnsen who quit last November, taking with him investment director Andre Karihaloo. The individual, who would be the lead manager of the £897m portfolio, will be announced in the second quarter, it said.

DGI9 shares shares eased 0.3p to 82.1ps but remain on a wide 20% discount following Johnsen’s exit, preventing share issues to raise funds for its investment pipeline.

The company said it had started two initiatives to raise capital: appointing a bank to syndicate a minority stake to a strategic partner in one of its companies; and agreeing a £100m borrowing  facility for another of its high growth companies.

Currently Arqiva, the UK TV network provider, is the only portfolio company with debt.

The company sought to reassure investors the moves would only be completed if they enhanced shareholder value. ‘Debt financing at investee company level is only appropriate where the incremental return on new investment would significantly exceed the cost of debt,’ it added.

DGI9 yields 6.98% but its dividends are uncovered by cash income leaving some analysts concerned about the impact of further borrowing on its income.

More to follow.