14th Aug 2012 07:00
Juridica Investments Limited
('Juridica' or the 'Company')
Juridica announces partial settlements of lawsuits generating US$36 million
Juridica, a leading provider of strategic capital for corporate legal claims to both businesses and the legal markets, is pleased to announce that four separate cases in its maturing portfolio have generated gross cash proceeds of £23 million (US$36 million) from partial settlements. The cash proceeds from these settlements represent realised gain on Juridica's investments and not a return of capital. These returns are in line with expectations for these cases as previously reflected in the unrealised profits of the Company. The settlements were completed in late July and early August and the Company will receive the vast majority of these proceeds at year-end.
The Company expects to release its half-year results in mid-September. As it moves further into the year and has more visibility on expected year-end results in the portfolio, the Board will consider at its 6 September meeting the announcement of an interim dividend to be paid to shareholders at or prior to the year-end. It is the Board's intention to pay-out a significant part of these proceeds as dividends, as and when received.
Juridica initially raised £115 million (US$210 million) of capital in two tranches. With the latest settlements, it has now generated £53 million (US$85 million) in lifetime gross proceeds and has returned a total of £16 million (US$27 million) to shareholders in the form of £11 million (US$17 million) in dividends and £6 million (US$10 million) when it acquired Company shares in its September 2010 buy-back programme.
Lord Brennan, Juridica's Chairman, said: "I am pleased to report that we are starting to see the benefits of some of our investments in larger cases, which often have a longer time to completion but also can generate larger returns. The cash results announced today demonstrate the strength of our investment approach and are equivalent to 20% of the total capital raised by the Company. The Board and its Investment Manager are really pleased about this opportunity to return significant dividends to shareholders in the near term."
Richard W. Fields, Chairman and Chief Executive of Juridica Capital Management, the Investment Manager, said: "When we first developed this market, we committed Juridica to invest in bigger cases with a desire to generate significant returns for our investors over the long term. We are thrilled to see the results we are reporting today and truly hope the investors who have been with us throughout this process feel the same way."
- Ends -
This document contains forward looking statements, which are based on JCML's current expectations and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in such statements. It is believed that the expectations reflected in these statements are reasonable, but they may be affected by a number of variables which could cause actual results or trends to differ materially. Each forward looking statement speaks only as of the date of this announcement. Except as required by the AIM Rules, the London Stock Exchange or otherwise by law, the Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward looking statements contained herein to reflect any change in the Company's or JCML's expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based.
For further information, please contact:
Juridica Capital Management Limited Richard W. Fields
| +1 (866) 443 1080
|
Cenkos Securities PLC (Nominated Adviser and Broker) Nicholas Wells Camilla Hume
| +44 (0) 20 7397 8900 |
Peel Hunt LLP (Joint Broker) Guy Wiehahn Emma Riza
| +44 (0)20 7418 8900
|
Pelham Bell Pottinger (UK media) David Rydell Olly Scott
| +44 (0) 20 7861 3232 |
R.C. Auletta and Company (US media) Richard Auletta
| +1 (212) 355 0400 |
About Juridica Investments Limited
Juridica Investments is a leading provider of strategic capital to the business community and the legal markets for corporate claims. It invests directly and indirectly in a diversified portfolio of corporate claims in litigation and arbitration. Juridica is one of the premier sources of value-added and direct financing for large business claims in the United States and one of the leading sources in the United Kingdom.
Our clients are Fortune 1000 companies, FT Global 500 companies, inventors, major universities, and the leading law firms that represent them. Juridica accepts only cases that have already been carefully vetted and undertaken by leading lawyers.
Juridica works to make the legal system work better for business claims. Juridica does not invest in speculative claims or claims that do not have demonstrated economic value and clear merits. Juridica invests only in business claims, and does not invest in class actions, personal injury, product liability, or mass tort claims.
Our goal is to provide business clients with financial choices that reduce risk and assist in maximising claim value.
Juridica was established on 21 December 2007 as a limited liability, closed-ended investment company registered in Guernsey. It has over US$200 million of assets under management. Juridica was the pioneer in alternative litigation financing and the first closed-end fund of its kind ever listed on AIM, a market operated by the London Stock Exchange (AIM: JIL.L).
The Company has appointed Juridica Capital Management Limited as its exclusive investment manager to locate, evaluate and manage direct and indirect investments in cases, claims and disputes.
For more information go to http://www.juridicainvestments.com
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