Volta Finance Ld Volta Finance Limited : Estimated Net Asset Value As At 31 May 2018

 
TIDMVTA 
 
 
   Volta Finance Limited (VTA) - May 2018 monthly report 
 
   NOT FOR RELEASE, DISTRIBUTION OR PUBLICATION, IN WHOLE OR IN PART, IN OR 
INTO THE UNITED STATES 
 
   ***** 
 
   Guernsey, 20 June 2018 
 
   AXA IM has published the Volta Finance Limited (the "Company" or "Volta 
Finance" or "Volta") monthly report for May. The full report is attached 
to this release and will be available on Volta's website shortly 
(www.voltafinance.com). 
 
   PERFORMANCE and PORTFOLIO ACTIVITY 
 
   In May, Volta's Estimated NAV* performance was +2.4%, a very good 
monthly performance in a context of relatively quiet credit markets in 
general. This month the dollar exposure of Volta contributed positively 
to half of the performance (1.2% impact). 
 
   On 28(th) of June Volta will pay a quarterly dividend corresponding to 
EUR0.16 per share (ex-dividend date was the 7(th) of June). 
 
   In May, mark-to-market performances of Volta's asset classes, in local 
currencies, were: +1.9% for Bank Balance Sheet Transactions mainly 
thanks to coupon payments; +0.2% for CLO Equity tranches; +1.3% for CLO 
Debt tranches, +0.7% for Cash Corporate Credit deals and +0.4% for ABS. 
 
   In May, Volta generated the equivalent of EUR1.3m in interest and 
coupons net of repo costs (non-euro amounts translated into euro using 
end-of-month cross currency rates). This brings the total cash amount 
generated during the last six months in terms of interest and coupons to 
EUR18.2m, a level unseen for several years. 
 
   The increasing quantum of interest and coupons generated by Volta assets 
continue being the result of the increase in 3 month LIBOR rate as well 
as the result of the increasing size of the CLO Equity bucket (being the 
asset class with the highest cash contribution). 
 
   During the month some of our clients did have some questions relative to 
our exposure to Italy. As a platform and it is the obviously the case 
for Volta, we never invested in bank balance sheet transactions from an 
Italian bank and do not intend to do so as we never reached such a level 
of confidence in the deals we looked at that made us comfortable. 
Regarding European CLOs, the exposure to loans from corporate entities 
based in Italy represented, as of the end of May, less than 2.5% of the 
underlying loan portfolios from our European CLO bucket (16.6% of Volta 
GAV as of the end of May). Overall Volta direct exposure to Italy is 
insignificant. 
 
   Volta saw two USD CLO debts being called during the month for a total of 
the equivalent of EUR12.0m and the equivalent of EUR1.8m was drawn on 
the two CLO warehouses that were opened in April. 
 
   As planned, we continue allocating capital to CLO warehousing 
facilities. It is anticipated that the two warehouses to which Volta 
contributed this month should lead to a CLO pricing by the end of 
Q2/early Q3 2018. Expected return on such CLO equity positions are most 
of the time in the area of 13 to 15%. 
 
   On top of the good performance that we expected and realised on the 
warehouse facilities, they generally offer a way to secure attractive 
terms for new CLO equity positions. 
 
   As of the end of May 2018, Volta's Estimated NAV was EUR309.1m or 
EUR8.45 per share. The GAV stood at EUR355.8m. 
 
   *It should be noted that approximately 11.4% of Volta's GAV comprises 
investments for which the relevant NAVs as at the month-end date are 
normally available only after Volta's NAV has already been published and 
investments in certain subordinated notes which are in the process of 
liquidation for which fully up-to-date prices might be unavailable. 
Volta's policy is to publish its own NAV on as timely a basis as 
possible in order to provide shareholders with Volta's appropriately 
up-to-date NAV information. Consequently, such investments are valued 
using the most recently available NAV for each fund or quoted price for 
each such subordinated note. The most recently available valuation was 
for 7.0% as at 30 April 2018 and for 4.4% as at 31 March 2018. 
 
   ** "Mark-to-market variation" is calculated as the Dietz-performance of 
the assets in each bucket, taking into account the Mark-to-Market of the 
assets at month-end, payments received from the assets over the period, 
and ignoring changes in cross currency rates. Nevertheless, some 
residual currency effects could impact the aggregate value of the 
portfolio when aggregating each bucket. 
 
   This announcement contains information that is inside information for 
the purposes of the Market Abuse Regulation (EU) No. 596/2014. Upon the 
publication of this announcement via Regulatory Information Service this 
inside information is now considered to be in the public domain. 
 
   CONTACTS 
 
   For the Investment Manager 
 
   AXA Investment Managers Paris 
 
   Serge Demay 
 
   [e-mail] 
 
   [phone] 
 
   Company Secretary and Portfolio Administrator 
 
   Sanne Group (Guernsey) Limited 
 
   [e-mail] 
 
   [phone] 
 
   Corporate Broker 
 
   Cenkos Securities plc 
 
   Andrew Worne 
 
   Oliver Packard 
 
   Sapna Shah 
 
   [phone] 
 
   ***** 
 
   ABOUT VOLTA FINANCE LIMITED 
 
   Volta Finance Limited is incorporated in Guernsey under The Companies 
(Guernsey) Law, 2008 (as amended) and listed on Euronext Amsterdam and 
the London Stock Exchange's Main Market for listed securities. Volta's 
home member state for the purposes of the EU Transparency Directive is 
the Netherlands. As such, Volta is subject to regulation and supervision 
by the AFM, being the regulator for financial markets in the 
Netherlands. 
 
   Volta's investment objectives are to preserve capital across the credit 
cycle and to provide a stable stream of income to its shareholders 
through dividends. Volta seeks to attain its investment objectives 
predominantly through diversified investments in structured finance 
assets. The assets that the Company may invest in either directly or 
indirectly include, but are not limited to: corporate credits; sovereign 
and quasi-sovereign debt; residential mortgage loans; and, automobile 
loans. The Company's approach to investment is through vehicles and 
arrangements that essentially provide leveraged exposure to portfolios 
of such underlying assets. The Company has appointed AXA Investment 
Managers Paris an investment management company with a division 
specialised in structured credit, for the investment management of all 
its assets. 
 
   ***** 
 
   ABOUT AXA INVESTMENT MANAGERS 
 
   AXA Investment Managers (AXA IM) is a multi-expert asset management 
company within the AXA Group, a global leader in financial protection 
and wealth management. AXA IM is one of the largest European-based asset 
managers with EUR717 billion in assets under management as of the end of 
December 2016. AXA IM employs approximately 2,420 people around the 
world. 
 
   ***** 
 
   This press release is distributed and published by AXA Investment 
Managers Paris ("AXA IM"), in its capacity as alternative investment 
fund manager (within the meaning of Directive 2011/61/EU, the "AIFM 
Directive") of Volta Finance Limited (the "Volta Finance") whose 
portfolio is managed by AXA IM. 
 
   This press release is for information only and does not constitute an 
invitation or inducement to acquire shares in Volta Finance. Its 
circulation may be prohibited in certain jurisdictions and no recipient 
may circulate copies of this document in breach of such limitations or 
restrictions. This document is not an offer for sale of the securities 
referred to herein in the United States or to persons who are "U.S. 
persons" for purposes of Regulation S under the U.S. Securities Act of 
1933, as amended (the "Securities Act"), or otherwise in circumstances 
where such offer would be restricted by applicable law. Such securities 
may not be sold in the United States absent registration or an exemption 
from registration from the Securities Act. Volta Finance does not intend 
to register any portion of the offer of such securities in the United 
States or to conduct a public offering of such securities in the United 
States. 
 
   ***** 
 
   This communication is only being distributed to and is only directed at 
(i) persons who are outside the United Kingdom or (ii) investment 
professionals falling within Article 19(5) of the Financial Services and 
Markets Act 2000 (Financial Promotion) Order 2005 (the "Order") or (iii) 
high net worth companies, and other persons to whom it may lawfully be 
communicated, falling within Article 49(2)(a) to (d) of the Order (all 
such persons together being referred to as "relevant persons"). The 
securities referred to herein are only available to, and any invitation, 
offer or agreement to subscribe, purchase or otherwise acquire such 
securities will be engaged in only with, relevant persons. Any person 
who is not a relevant person should not act or rely on this document or 
any of its contents. Past performance cannot be relied on as a guide to 
future performance. 
 
   ***** 
 
   This press release contains statements that are, or may deemed to be, 
"forward-looking statements". These forward-looking statements can be 
identified by the use of forward-looking terminology, including the 
terms "believes", "anticipated", "expects", "intends", "is/are expected", 
"may", "will" or "should". They include the statements regarding the 
level of the dividend, the current market context and its impact on the 
long-term return of Volta Finance's investments. By their nature, 
forward-looking statements involve risks and uncertainties and readers 
are cautioned that any such forward-looking statements are not 
guarantees of future performance. Volta Finance's actual results, 
portfolio composition and performance may differ materially from the 
impression created by the forward-looking statements. AXA IM does not 
undertake any obligation to publicly update or revise forward-looking 
statements. 
 
   Any target information is based on certain assumptions as to future 

events which may not prove to be realised. Due to the uncertainty 
surrounding these future events, the targets are not intended to be and 
should not be regarded as profits or earnings or any other type of 
forecasts. There can be no assurance that any of these targets will be 
achieved. In addition, no assurance can be given that the investment 
objective will be achieved. 
 
   The figures provided that relate to past months or years and past 
performance cannot be relied on as a guide to future performance or 
construed as a reliable indicator as to future performance. Throughout 
this review, the citation of specific trades or strategies is intended 
to illustrate some of the investment methodologies and philosophies of 
Volta Finance, as implemented by AXA IM. The historical success or AXA 
IM's belief in the future success, of any of these trades or strategies 
is not indicative of, and has no bearing on, future results. 
 
   The valuation of financial assets can vary significantly from the prices 
that the AXA IM could obtain if it sought to liquidate the positions on 
behalf of the Volta Finance due to market conditions and general 
economic environment. Such valuations do not constitute a fairness or 
similar opinion and should not be regarded as such. 
 
   Editor: AXA INVESTMENT MANAGERS PARIS, a company incorporated under the 
laws of France, having its registered office located at Tour Majunga, 6, 
Place de la Pyramide - 92800 Puteaux. AXA IMP is authorized by the 
Autorité des Marchés Financiers under registration number 
GP92008 as an alternative investment fund manager within the meaning of 
the AIFM Directive. 
 
   ***** 
 
   Volta Finance Limited - May 2018 monthly report: 
http://hugin.info/137695/R/2200191/853254.pdf 
 
   This announcement is distributed by Nasdaq Corporate Solutions on behalf 
of Nasdaq Corporate Solutions clients. 
 
   The issuer of this announcement warrants that they are solely 
responsible for the content, accuracy and originality of the information 
contained therein. 
 
   Source: Volta Finance Limited via Globenewswire 
 
 
  http://www.voltafinance.com 
 

(END) Dow Jones Newswires

June 20, 2018 02:00 ET (06:00 GMT)

Copyright (c) 2018 Dow Jones & Company, Inc.