20 November 2024

UIL LIMITED

(LEI Number: 213800CTZ7TEIE7YM468)

Publication of monthly factsheet

The latest monthly factsheet for UIL Limited ("UIL" or the "Company") will shortly be available through the Company's website at:

https://www.uil.limited/investor-relations/factsheet-archive

Monthly commentary

PERFORMANCE

UIL's net asset value ("NAV") total return increased 11.6% in October outperforming the FTSE All Share total return Index which decreased by 1.6% over the month.

Markets in October were volatile with the US election looming and the race for the White House between Donald Trump and Kamala Harris continuing to be close. Uncertainty surrounding potential post-election policy shifts continued to resonate especially as the markets began to consider the impact on inflation and interest rates of a highly expansionary fiscal policy signalled by Trump in his election campaign. The US Dollar for the month therefore appreciated against all major currencies in October, appreciating against Sterling by 4.3% and 1.5% against the Euro. However, the S&P 500 Index ended down by 1.0% despite reaching an all time high during the month.

The European markets reflected the uncertainty arising from the US Presidential election as the Eurostoxx Index was down by 3.5% and the Deutsche Boerse was down 1.3% despite economic growth data accelerating from 0.2% in 2Q24 to 0.4% in 3Q24. The European Central Bank cut interest rates 25bps in October.

In the UK, the FTSE 100 was down 1.5% for the month as concerns over the economic outlook continued to simmer. The first Labour budget since 2010 added to these concerns with questions arising over long term economic growth despite Rachel Reeves, the UK Chancellor, announcing a £70bn boost to spending, as it is unclear how the UK's productivity will be affected long term. Inflationary concerns therefore persisted with UK gilt rates increasing over the month.

Emerging markets on the whole were down during October, reflecting the concerns of a potential expansionary fiscal policy arising if Trump wins and what a potentially stronger dollar will mean. The Chinese market, the Hang Seng Index and Shanghai Composite Index were also down by 3.9% and 1.7% respectively as the strong market optimism that was witnessed in September dissipated as clarity around the stimulus package announced in September failed to materialise.

In the commodities markets, Brent Crude oil was up 1.9% for the month, despite increasing earlier in the month on the back of escalating tension in the Middle East which by the end of month cooled slightly. Copper was down 4.7% as persistent demand concerns and a strengthened dollar continue to weigh on the sector whilst gold was up 4.2% reaching yet again another all time high.

PORTFOLIO UPDATE

During the month, UIL acquired the shares in Zeta Resources Limited ("Zeta") held by General Provincial Life Pension Fund Limited ("GPLPF") at NAV (£28.7m in aggregate), satisfied through the transfer to GPLPF of UIL's investment in Allectus Capital at its latest valuation and the issue of new UIL ordinary shares at NAV. As a result, UIL held over 95% of Zeta and gave notice to acquire the remaining Zeta shares by compulsory acquisition at NAV. The compulsory acquisition completed on 16 October 2024 and Zeta thereby became a 100% subsidiary of UIL.

UIL's top ten holdings are now disclosed on a look through basis, taking into account the underlying investments of Somers Limited ("Somers") and Zeta. Horizon Gold Limited held through Zeta, is a gold exploration company based in Perth, Australia. L&C Waverton held through Somers, is a UK wealth manager. Kumarina Resources Limited held through Zeta, is an exploration company identifying, acquiring and developing gold and base metal projects in Australia.

ZDP SHARES

The 2024 ZDP shares were redeemed on 31 October 2024. The capital repayment amount for the 2024 ZDP shares was 138.35p per share. The total redemption payment was £41.5m.

The share price of the 2026 ZDP shares was up by 2.5% and the 2028 ZDP shares increased by 3.6% during the month.

Name of contact and telephone number for enquiries:

Charles Jillings

ICM Investment Management Limited                                 +44(0)1372 271486