NAV & Share Price Performance

The Company's NAV % Total Return for the month of June was -0.76%, which brings the NAV % Total Return for the quarter to 2.00%.

The NAV % Total Return over the last twelve months was 3.02% and inception to date (ITD) 45.13%.

The Ordinary Share NAV as at 30^th June 2024 was 87.84 pence per share. This monthly NAV return of -2.314 pence per share arose primarily from (1) the ex-dividend effect of the 1.625 pence per Ordinary Share dividend for the period Q1 2024, declared in May and paid in June 2024 and (2) discount rate movements which negatively affected investment loans valuations, predominantly driven by investment loans Ref #66 and Ref #67.

Portfolio Activity

As at 30^th June 2024, the Company's invested portfolio had an aggregate nominal outstanding of circa £93 million across 25 investments. The average yield was 11.72%, with a weighted average loan life remaining of circa 1.24 years. Overall, the portfolio is 95% invested in private market assets and 5% in public bonds.

Q2-2024 was an active and successful quarter for the Company in terms of portfolio realisation with a total of 11 repayments / prepayments totalling circa £16m, of which 5 full exits at par as shown below:

·      Investment Loan Ref #60 - c.£4.7m

·      Investment Loan Ref #91 - c.£0.5m

·      Investment Loan Ref #87 - c.£0.8m

·      Investment Loan Ref #97a & 97b - c.£6.3m (post reporting period event)

·      Investment Loan Ref #94a & 94b - c.£2.8m (post reporting period event)

In line with the realisation mandate, there was limited activity in terms of drawdowns, with only two drawdowns under existing committed facilities:

·      Investment Loan Ref #96 - c.£700k

·      Investment Loan Ref #88 - £75k

At period end, the Company had no outstanding debt with cash balances standing at circa £18m of which circa £2m will be retained by the Company largely to fund undrawn committed facilities and for working capital purposes.

The Company confirmed the most appropriate and effective method to return capital to shareholders would be via tender offers.  Each tender offer will be subject to shareholder approval at a general meeting, including for the initial tender offer. The Board is currently anticipating the first tender offer to occur during H2-2024.