3 September 2024

Duke Capital Limited

("Duke Capital", "Duke" or the "Company")

Follow-On Investment into United Glass Group

Duke Capital Limited (AIM: DUKE), a leading provider of hybrid capital solutions for SME business owners in Europe and North America, is pleased to announce a follow-on investment of £3.0 million into its existing capital partner, United Glass Group ("UGG"). This investment will enable UGG to complete its latest acquisition.

UGG is a progressive and service-orientated group of architectural glass processing companies that has been operating in the UK market since the early 1980s. UGG is currently comprised of three operating subsidiaries; Brownhills Glass Company Limited, Tufwell Glass Limited and London Architectural Glass Limited.

Highlights:

·       Duke's funds will be used to facilitate UGG's acquisition of Premier Double Glazed Units Limited ("Premier"), a business with market leading automated manufacturing capability of insulated glass units including triple-glazed.

·       The financing increases Duke's total investment in UGG to £15.0 million. The investment terms are in line with Duke's typical cost of capital, including the +/- 6% annual revenue adjustment factor in respect of payments due.

·       This transaction represents the first acquisition by UGG since Duke completed the secondary share purchase transaction earlier in 2024, which saw Duke's equity stake in UGG increase to 73.8%.

Neil Johnson, CEO of Duke Capital, said:

"This latest funding increases our total investment in a partner which has consistently delivered since we first commenced our partnership in 2018. It is pleasing to see UGG successfully executing its buy-and-build strategy, expanding its presence as a national leader in the glass processing market. UGG's acquisition and strategic progress further validates our decision to increase our holding in UGG earlier in the year and as a longstanding partner, we are fully committed to providing the capital and support needed to realise UGG's vision and drive their continued success."

Mark Harrison, CEO of UGG, said:

"We are thrilled to announce the acquisition of Premier, which marks a significant milestone in UGG's journey towards becoming a national leader in the glass processing industry. This strategic move, supported by our capital partner, solidifies our position and propels our buy-and-build strategy forward. With a strengthened platform and a clear vision for growth, we are poised to drive long-term success and deliver exceptional value across the industry."

Further information regarding Premier

Founded in 1996, Premier is a leading manufacturer of glass units in the Southwest of England. Premier's end-market customers are typically those in the residential, commercial, and architectural markets.

Premier manufactures both double glazed and triple glazed units, specialising in manufacturing high-quality insulated glass units with an emphasis on energy efficiency and durability. It also offers bespoke glazing solutions for the high-end architectural market and operates with best-in-class manufacturing capabilities and a high degree of automation in the production process.

Duke Capital Portfolio

A full list of Duke's current partners is included for reference on the Partners page of the Company's website: www.dukecapital.com/partners.

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For further information, please visit www.dukecapital.com or contact:

About Duke Capital

Duke is a leading provider of hybrid capital solutions for SME business owners in Europe and North America, combining the best features of both equity and debt.

Since 2017, Duke has provided unique long-term financing which eliminates re-financing risk and necessity for a short-term exit by providing a unique 'corporate mortgage' while also aligning its returns to grow with the success of the business.

Duke is focused on generating attractive risk-adjusted returns for shareholders and has a track record of achieving this across market cycles. Its three investment pillars are capital preservation, attractive dividend yield, and to provide upside upon exits. Duke is listed on the AIM market under the ticker DUKE and is headquartered in Guernsey.