RM Secured Direct Lending PLC Portfolio Update (3544V)

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RNS Number : 3544V

RM Secured Direct Lending PLC

08 April 2019

RM Secured Direct Lending PLC

Portfolio Update: Full deployment of cash, prepayment of Loan investment and Sale of Equity Warrants.

RMDL commits c.GBP23m across three transactions

RM Secured Direct Lending PLC (the "Company" or "RMDL"), the investment trust specialising in providing tailored debt solutions, is pleased to announce that so far during the month of April it has deployed all cash available for investment. Future Loan commitments are expected to be funded from a variety of sources including any repayments under existing Loans, divestments of existing Loans, additional capital raises and the utilisation of its GBP10m Revolving Credit Facility ("RCF").

Prepayment of Loan Facilities and Sale of Equity Warrants

Two Loans totalling GBP6.25m have been prepaid in accordance with the terms of the respective Loan agreements. In addition, the Investment Manager has agreed to sell equity warrants issued to RMDL by one of the Borrowers in connection with its Loan. The combined prepayment penalties and the net proceeds of the warrant sale total c.GBP1.5m, or 1.3 pence per ordinary share, which will be reflected in the 31 March 2019 Net Asset Value.

Full Deployment of March Capital Raise Proceeds

The proceeds of the Company's recent fundraise, completed in March, have been deployed across three new transactions. All three transactions, originated and structured by the Investment Manager, are consistent with RMDL's investment approach, offer robust security packages and yield cash coupons in excess of 8.75% per annum.

Revolving Credit Facility

The RCF offers RMDL flexible capital for maintaining and preserving liquidity and general corporate purposes, including for investment in its substantial pipeline of opportunities. RMDL does not incur any non-utilisation fees in connection with the facility. Repayment of the facility is expected to be funded through repayments and divestments of existing Loans and through further capital raises.

Further details of the three transactions funded by the Company's recent fundraise, together with RMDL's wider portfolio, will be detailed in the quarterly factsheet expected to be published on or around the 16(th) April 2019.

Norman Crighton, Chairman of the Company, said:

"RMDL continues its track record of sourcing strong credit opportunities and actively deploying funds into high quality investments. We remain confident in our Investment Manager's approach in ensuring the portfolio is well balanced and set to deliver sustainable income and returns for shareholders."

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For further information, please contact:

 
 RM Funds - Investment Manager 
  James Robson 
  Pietro Nicholls                                        0131 603 7060 
 N+1 Singer Advisory LLP - Financial Adviser 
  and Broker 
  James Maxwell 
  Lauren Kettle                                          020 7496 3000 
 Tulchan Communications LLP - Financial PR               0207 353 4200 
  Elizabeth Snow                                          [e-mail] 
  Deborah Roney 
 PraxisIFM Fund Services (UK) Limited - Administrator 
  and Company Secretary 
  Anthony Lee 
  Ciara McKillop                                         020 7653 9690 
 

About RM Secured Direct Lending

RM Secured Direct Lending Plc 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.

About RM Capital Markets Limited

RM Funds is a trading name of RM Capital Markets Limited, the Investment Manager to RM Secured Direct Lending PLC and VT RM Alternative Income Fund. RM Capital is a specialist in alternative fund management, sales & trading, foreign exchange, and capital markets and advisory. Founded in 2010, with offices in Edinburgh, and London, it has transacted in excess of GBP50 billion of bonds and loans since its inception, and advised or originated, structured and managed the due diligence process for over GBP1 billion of Sterling credit transactions and approximately EUR700 million of Euro based transactions in each case since 2012.

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April 08, 2019 02:00 ET (06:00 GMT)