RM Secured Direct Lending PLC Net Asset Value(s) (9928P)

TIDMRMDL TIDMRMDZ TIDMTTM

RNS Number : 9928P

RM Secured Direct Lending PLC

16 October 2019

 
                     RM Secured Direct Lending Plc and RM ZDP PLC 
 
                               ("RMDL" or the "Company") 
 
                               LEI: 213800RBRIYICC2QC958 
 
                                    Net Asset Value 
 
 RMDL announces that its unaudited net asset value per ordinary 
  share as at 30 September 2019, on a cum income basis, was 98.05 
  pence (31 August 2019: 99.00 pence). 
 
            RM ZDP PLC announces that the unaudited accrued capital entitlement 
             per ZDP share as at 30 September 2019 was 105.30 pence (31 August 
             2019: 105.00 pence). 
 
             NAV 
             NAV % Total Return for the month was 0.70% and brings the NAV 
             % Total Return for the first 9 months of the year to 6.63%. Consequently, 
             the Company is well on track to exceed its distribution target 
             of 6.5 pence per share for the calendar year. 
             The Ordinary Share NAV as at 30(th) September 2019 was 98.05 
             pence, which is 0.95 pence lower than the end of August. The 
             monthly movement in NAV was mainly driven by the ex-dividend 
             effect of the 1.625 pence total declared in August and paid in 
             September, positive net interest income net of expenses of 0.64 
             pence and an increase in portfolio valuations of 0.06 pence. 
             Portfolio Activity 
             The portfolio consists of 35 investments split across 13 sectors. 
             The average yield on the portfolio increased by 21 bps to 8.82% 
             in the quarter. Invested capital currently stands at GBP125m, 
             with the RCF facility partially drawn and is very similar to 
             the position at the end of Q2. The weighted average life of the 
             Loans within the portfolio is 3.50 years and duration of just 
             under 1.50 years. 
             Overall, private debt represents c. 96% of the portfolio's holdings 
             with the full breakdown as follows: 59% bilateral loans, 37% 
             within club or syndicated private loans and 4% in liquid corporate 
             debt. 
             During the quarter there were two new investments and several 
             drawdowns on existing facilities. The transactions were funded 
             from a combination of existing Loans maturing, repayments and 
             two divestments. To date the Investment Manager has invested 
             over GBP200m of capital in high quality businesses secured by 
             tangible real assets, and recycled or re-deployed in excess of 
             GBP75m of capital. This continues to demonstrate the Investment 
             Manager's ability to invest in high quality Loans, generate attractive 
             risk-adjusted returns and collect principal repayments. In addition, 
             these repayments and divestments demonstrate the robustness of 
             the Company's valuation policy and carrying values of the holdings. 
             New Investments in the Quarter 
             Euroports 
              *    Euroports, a leading European port infrastructure 
                   operator: EUR2m participation in private syndicated 
                   facility maturing 2026 paying Euribor +775bps. This 
                   investment follows the key theme for the Company of 
                   investing in real assets with visible cashflows. In 
                   addition, there is significant sponsor equity support 
                   sitting below the RMDL investment and the business 
                   offers substantial asset and cash flow coverage. 
 
 
 
             énergie Fitness 
             énergie Fitness, the leading low-cost fitness franchisor 
             in the UK and Ireland; GBP6m new investment to provide a comprehensive 
             financing package to support leading sustainable and impact investor, 
             Bridges Fund Management, in its acquisition of énergie Fitness. 
             The financing package includes senior secured term loan and revolving 
             credit facilities. The health and fitness sector remains a fast-growing 
             market and with an increasing demand for high quality, low-cost 
             operators. As the sole lender RMDL's Investment Manager has structured 
             a highly covenanted, senior secured loan. 
 
             Outlook & Pipeline 
             The Investment Manager has a variety of investment opportunities 
             that satisfy the strict credit criteria and sector focus which 
             are currently going through the Due Diligence and Documentation 
             processes. It remains confident in its ability to originate and 
             close high-quality investments. It is focused on deploying and 
             recycling capital into non-cyclical sectors, with real asset 
             security and limited correlation to wider equity markets. The 
             monitoring of the existing loans remains a priority, with all 
             loans marked-to-market on a monthly basis reflecting perceived 
             or actual risks to underlying Loan performance. The Investment 
             Manager will continue to maintain this strict discipline relating 
             to the due diligence, structuring, documentation and overall 
             credit quality of existing and prospective investments. 
 
             The Investment Manager will continue to use part of their management 
             fee to purchase shares and will be notifying the market on or 
             shortly after 16(th) October that the purchase for Q3 2019 has 
             been completed, increasing their total direct holding to in excess 
             of 1,043,000 shares. 
 
 The Company also announces that the Monthly Report for the period 
  to 30 September 2019 is now available to be viewed on the Company 
  website: 
 https://rmdl.co.uk/investor-centre/monthly-factsheets/ 
 
                                          END 
 
  For further information, please contact: 
 RM Capital Markets Limited - Investment Manager 
 James Robson 
 Pietro Nicholls 
 Tel: [phone] 
 
 International Fund Management - AIFM 
 Chris Hickling 
 Shaun Robert 
 Tel: [phone] 
 
 Tulchan Group - Financial PR 
 James Macey White 
 Elizabeth Snow 
 Tel: [phone] 
 
 PraxisIFM Fund Services (UK) Limited - Administrator and Company 
  Secretary 
 Anthony Lee 
 Ciara McKillop 
 Tel: [phone] 
 
 Nplus1 Singer Advisory LLP - Financial Adviser and Broker 
 James Maxwell 
 Lauren Kettle 
 Tel: [phone] 
 
 About RM Secured Direct Lending 
 
 RM Secured Direct Lending Plc ("RMDL" or the "Company") is a 
  closed-ended investment trust established to invest in a portfolio 
  of secured debt instruments. 
 
 The Company aims to generate attractive and regular dividends 
  through loans sourced or originated by the Investment Manager 
  with a degree of inflation protection through index-linked returns 
  where appropriate. Loans in which the Company invests are predominantly 
  secured against assets such as real estate or plant and machinery 
  and/or income streams such as account receivables. 
 
 For more information, please see 
 https://rmdl.co.uk/investor-centre/monthly-factsheets/ 
 

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October 16, 2019 02:00 ET (06:00 GMT)