Secondary Sale of Assets and Liquidation Proposal (2114H)

TIDMGMNT

RNS Number : 2114H

Gottex Market Neutral Trust Limited

24 May 2011

Gottex Market Neutral Trust Limited (the "Company")

(a closed-ended investment company incorporated with limited liability under the laws of Guernsey with registered number 46429)

24 May 2011

Secondary Sale of Remaining Assets and Liquidation Proposal

The Board of Gottex Market Neutral Trust Limited announces that the Company has entered into a Securities Sale Agreement with a third party, to sell the majority of the Company's remaining hedge fund assets held by the Company for an amount of US$863,268.65 (representing an average discount of approximately 70.0% to their notional value as at 28 February 2011). The Board believe that due to the illiquid nature of these remaining assets, the sale price represents a fair value and allows the Company to move forward with proposals to conclude the winding up of the Company and appoint a liquidator.

The Board notes that following the Company's Extraordinary General Meeting held on 11 March 2010 at which shareholders approved the Winding Down Proposals, the Company has returned GBP37,250,000 (82.14 pence per share) to shareholders by way of 4 capital returns, redeeming 42,750,433 shares, to date. This amount represents a return of approximately 93.8% of the NAV per share as at 28 February 2010.

At close of business on 23 May 2011, the Company's Shares were trading at a price of 68.75 pence per share. The Company's published estimated NAV per Share as at 30 April 2011 was 78.44 pence per share and, as at that date, its estimated net assets were GBP2,039,175. Following completion of the sale (which may take 150 days or longer) the estimated value of the Company's remaining assets (using the NAV as at 30 April 2011) would be approximately GBP1.4 million.

In accordance with the provisions of the Articles, the Company also announces a proposal to appoint a Liquidator and to place the Company into a voluntary winding up (the "Proposal"). A resolution to this effect (the "Liquidation Resolution") will be put forward for consideration by Shareholders at an Extraordinary General Meeting ("EGM") to be held in Guernsey on 30 June 2011 at 10.00 a.m.

The Proposal is subject to Shareholder approval by special resolution at the EGM.

The Company will request that dealings in the Shares be suspended with effect from 7.30 a.m. on 30 June 2011. After that time the Shares will no longer be capable of being traded on the London Stock Exchange.

If the Liquidation Resolution is approved by Shareholders at the EGM, Mr Ashley Paxton and Mr Robert Kirkby of KPMG Channel Islands Limited will be appointed as the Company's Liquidator. Upon the appointment of the Liquidator at the EGM, all powers of the Board will cease and the Liquidator will be responsible for the affairs of the Company until it has been wound up.

The Liquidator may retain the Company's current service providers (its Investment Manager, Gottex Fund Management, Sarl, its Custodian, Northern Trust (Guernsey) Limited and its Administrator, Secretary and Registrar, Northern Trust International Fund Administration Services (Guernsey) Limited) until the dissolution of the Company, at which point the Company's agreements with those service providers will be terminated.

The Liquidator will wind up the Company in accordance with the Companies (Guernsey) Law, 2008. All distributions made by the Liquidator pursuant to the winding-up will be subject to the retention of certain assets in order to provide for the cost of implementation of the Proposal, any outstanding fees and payables of the Company (including the Liquidator's own fees) and an amount which the Liquidator considers sufficient to meet any contingent and unknown liabilities of the Company (the "Retention"). The Retention is not currently expected to exceed GBP50,000.

If the Liquidation Resolution is approved by Shareholders at the EGM, it is expected that the Guernsey Financial Services Commission will suspend the Company's authorisation under the Protection of Investors (Bailiwick of Guernsey) Law, 1987 as amended, and, once the liquidation is complete, that authorisation will be cancelled.

Cancellation of the Company's listing

Upon commencement of the Company's liquidation, the Company proposes to seek the cancellation of the listing of its Shares on the Official List of the UKLA and their trading on the Main Market of the London Stock Exchange plc.

In the event that the Liquidation Resolution is approved by Shareholders, the Company's listing on the Official List of the UK Listing Authority is expected to be cancelled with effect from 8.00 a.m. on 1 July 2011.

Estimated costs and net proceeds of the winding-up

It is anticipated that the costs and expenses of implementing the Proposal will be approximately GBP50,000 (which includes the Liquidator's estimated expenses of GBP20,000). When making distributions pursuant to the winding-up the Liquidator will establish a Retention of such amount as it considers appropriate, for the payment of its fees and those of the Company's advisors in connection with the winding-up, as well as other payables and creditors.

Expected Timetable

 
            Latest time and date for                  By 10.00 a.m. on 28 June 
            receipt of Forms of Proxy                                     2011 
 Suspension of dealings in the Shares                7.30 a.m. on 30 June 2011 
 
                                        -------------------------------------- 
            Extraordinary General                   10.00 a.m. on 30 June 2011 
            Meeting 
                                        -------------------------------------- 
 Announcement of the result of the EGM                 by 6.00 p.m. on 30 June 
                                                                          2011 
                                        -------------------------------------- 
            Cancellation of the                       8.00 a.m. on 1 July 2011 
            listing of the Shares 
                                        -------------------------------------- 
 

Enquiries

 
            Company Secretary - Northern              Tel: [phone] 
            Trust International Fund                      Email: [e-mail] 
            Administration Services 
            (Guernsey) Limited Andrew 
            Maiden 
 

This information is provided by RNS

The company news service from the London Stock Exchange

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