14th Aug 2019 12:15
(Alliance News) - RM Secured Direct Lending PLC said on Wednesday it met its interim dividend target after a first half in which its portfolio and net asset value both saw growth.
In the six months ended June 30, financial assets, which include loan and bond investments, grew 23% year-on-year to GBP122.3 million from GBP99.2 million. As of June 30,the company had GBP118,820 million in private loan investments and GBP3,497 in bond investments.
At the end of the period, the RM Secured Direct had 35 debt investments, up from 30 at the end of June 2018.
Net asset value per share rose marginally to 98.00 pence from 97.73p and the share price at June 30 stood at 101.50p, a 3.6% premium to net asset value.
Shares in the company were up 0.2% at 101.66p each in London on Wednesday.
RM Secured Direct posted a net asset value total return of 4.9%. In the same period last year, total return was 3%.
Gross asset value - an alternative measure which includes the net asset value of its shares, its zero dividend preference shares and a credit facility - rose to GBP124.3 million, up 16% year-on-year from GBP107.6 million.
During the period, RM Secured Direct delivered a total dividend of 3.625p per share, up 12% from 3.250p. It said it is on track to deliver an aggregate annual dividend in excess of 6.5p per share, which would ensure it meets its 2019 target.
Chair Norman Crighton said: "The board is pleased to report another strong performance by RM Direct for the first half of the year, supported by the breadth and diversity of its portfolio. During the period, the portfolio grew past GBP122.0 million through selective investments in secured and tailored debt solutions across 13 sectors in 35 investments.
"Once again, we have been able to deliver attractive returns to our investors with a NAV total return in the Period of 4.9%. Over the longer term, RM Direct is well placed to take advantage of the strong pipeline of opportunities and continued investor appetite for yield."