KKV Secured Loan Fund Limited Buy-back of Investment & NAV positive impact (5033P)

TIDMKKVL

RNS Number : 5033P

KKV Secured Loan Fund Limited

18 February 2021

18 February 2021

KKV Secured Loan Fund Limited

LEI: 2138007S3YRY3IUU4W39

Buy-back of Investment and subsequent NAV positive impact

The Board of KKV Secured Loan Fund Limited (the "Company" or "KKVL"), an investment trust specialising in lending to the SME sector, is pleased to announce that it has received net proceeds of $24.3 million from the refinancing of two existing investments in a US based reinsurance company, referred to as Borrowers 7 and 9 in the Annual Report and Accounts for the year ended 30(th) June 2020, published on 27(th) January 2021 ("2020 Annual Report"). The two investments were held by the Ordinary Share Class only. As stated in the Portfolio Manager's Report, the Company's Portfolio Manager has been engaging actively with the borrower for some months to encourage them to repurchase their debt. We are pleased to be able to conclude this complex transaction to the benefit of Shareholders.

The net proceeds of $24.3 million represent a repayment of 60% per cent of the principal outstanding and the Portfolio Manager expects this to contribute approximately 4.91p towards the NAV per Ordinary Share based off the last published NAV of 36.19p as at 30(th) June 2020. The settlement of this loan will also provide an opportunity for repayment of the inter-share class loan between the Ordinary Share class and C Share class and commencement of cash repayments sooner than anticipated from the Ordinary Share portfolio.

A meeting of the board of directors is scheduled to take place next week where consideration will be given to determining an amount of capital to be returned to both the Ordinary Share Class and the C Share Class. A further announcement will be made after the board meeting.

Further details of the two investments may be found in the 2020 Annual Report.

This announcement is released by KKV Secured Loan Fund Limited and contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 (MAR), and is disclosed in accordance with the Company's obligations under Article 17 of MAR.

For further information please contact:

KKV Secured Loan Fund Limited, Brett Miller via the Company Secretary

   KKV Investment Management, Catherine Halford            [e-mail] 
   BNP Paribas Securities Services S.C.A., Guernsey Branch Company Secretary     01481 750 853 

Winterflood Securities Limited, Neil Langford 020 3100 0000

For the purposes of MAR and Article 2 of Commission Implementing Regulation (EU) 2016/1055, the person responsible for releasing this announcement is Sharon Williams, Company Secretary.

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February 18, 2021 02:00 ET (07:00 GMT)