RM Secured Direct Lending Beats Annual Dividend Target For 2017

9th Mar 2018 14:31

LONDON (Alliance News) - RM Secured Direct Lending PLC on Friday declared a dividend for 2017 above the target stated at the time of its stock listing in 2016.

The company declared a maiden full-year dividend of 4.2 pence per share, up from the target placed at its IPO of 4.0p. In December 2016, the trust raised GBP50.3 million ahead of its listing through the issue of 50.3 million shares at 100 pence per share.

As at December 31, the trust's adjusted net asset value per ordinary share stood at 98.6p and share price of 101.5p, giving a premium of 3.0% to net asset value.

For the same date, net asset value per C share was 97.8p, with the share price at 102.0p, reflecting a premium of 4.3%

For its first year since listing on the Main Market, RM Secured had 23 debt investments totalling GBP55.0 million of deployed capital in the ordinary share portfolio, spread across 11 sectors, while the C share portfolio has nine debt investments either funded or committed to be funded, at a total of GBP22.0 million, across seven sectors.

"The board believes the company is well positioned to capitalise on opportunities during the next period as the investment manager has demonstrated the ability to source excellent investment opportunities and undertake a rigorous credit analysis and due diligence process," said Chairman Norman Crighton.

"The company has a diversified portfolio of secured loans generating a stable income and the board would like to see the company grow during 2018 with the aim of achieving the target dividend of 6.5%, spreading the company's fixed costs and continued diversification of the portfolio," Crighton added.

Shares in the investment trust were down 1.4% at 100.09 pence on Friday.

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