Result of Strategic Review

NOT FOR RELEASE, DISTRIBUTION OR PUBLICATION, DIRECTLY OR INDIRECTLY, TO U.S. PERSONS OR INTO OR IN THE UNITED STATES, AUSTRALIA, CANADA OR JAPAN.

Carador Income Fund plc (the "Company")

Result of Strategic Review

Further to the Company's announcement on 15 June 2018, the Board of Carador Income Fund plc today announces an update regarding the Company's strategic review.

The Board engaged financial advisers to carry out a strategic review of the Company, which involved an extensive shareholder consultation and which considered, inter alia, a change of investment policy and the structure and domicile of the Company.

The Board has evaluated the results of the shareholder consultation, which included significant variation in feedback without a dominant view. Whilst there was a significant amount of support for the Company to continue offering shareholders exposure to CLOs, a number of shareholders expressed concerns around liquidity, the level of the share price discount to NAV and a desire for a return of their capital. The Board considers that a further partial redemption opportunity may result in the Company becoming sub scale with an increased total expense ratio and reduced liquidity. Accordingly, the Board has determined to offer shareholders the opportunity to vote on an orderly wind up of the Company alongside a rollover opportunity for those who wish to retain an investment in the CLO asset class. After examining various options, the Board feels that there is currently no structure available that can accommodate liquidity for non-listed CLO structures which are by their nature inherently illiquid, however the Board believes that these proposals go some way to satisfying the majority of shareholders' needs (as expressed in the strategic review).

Given the interest expressed by a number of shareholders to retain an exposure to CLOs, the Board intends to offer all shareholders, including CIFR shareholders, an opportunity to elect to roll over their holding in the Company's shares into Blackstone / GSO Loan Financing Limited (TIDM: BGLF) (the "BGLF Rollover"), as announced by BGLF today. It is envisaged that BGLF would acquire part of the Company's portfolio of CLO assets and would not hold any interest in the Company's shares. Any such option would be subject to, inter alia, regulatory consent and approval from the shareholders of BGLF and CIFU.

During the consultation process, the Board received interest from a number of third party managers. However having evaluated the proposals put forward in light of the wider shareholder feedback, the Board concluded that it was not in the best interests of the Company to take any of these proposals forward.

A circular containing further details of the proposal to amend the investment policy of the Company and the constitution to allow the winding up of the Company, together with any BGLF Rollover opportunity (subject to receiving the required consents), will be published in due course.

The repurchase pool shares (TIDM: CIFR), which participate in a separate pool of assets and liabilities within the Company (the "Repurchase Pool") was created for the purposes of the repurchase opportunity offered to shareholders in October 2017, are not expected to be affected by the strategic review. Realisation of the assets in the Repurchase Pool will continue and is expected to be achieved as previously announced. However CIFR Shareholders may be given an equivalent rollover opportunity into BGLF Shares.

The Board thanks shareholders for their participation in the shareholder consultation. Further updates will be provided in due course.

Enquiries:

John Armstrong-Denby / Nick Donovan

Fidante Capital

Financial Adviser and Broker

020 7893 0900

James Maxwell / David Floyd

N+1 Singer

Financial Adviser and Broker

020 7496 3000

Sam Battye

State Street Fund Services (Ireland) Limited

Company Secretary

Tel: +353 1 776 6589

This announcement contains inside information for the purposes of Article 7 of the Regulation (EU) No 596/2014 on Market Abuse. Upon the publication of this announcement, this information is considered to be in the public domain.