4th Jan 2012 07:00
Juridica Investments Limited
('Juridica' or the 'Company')
Special dividend and portfolio update
The Board of Juridica, a leading provider of strategic capital to both businesses and the legal markets for corporate claims, is pleased to announce a special dividend of 7 pence per share, (or 7.7% based on a mid-market share price of 90.5 pence on 3 January 2012), payable on 10 February 2012 to shareholders on the Register at 13 January 2012.
Outcomes in 2011
The Company has received gross cash proceeds during 2011 totaling approximately US$17.0 million. These are derived from seven different matters, including one case that completed (and was reported) in early 2011 and from recently received partial settlements with defendants in six different cases. This has resulted in cash profits of approximately US$12.3 million after allowing for the cost of investment in the completed case and the apportioned investment costs for the partially settled claims.
The partial settlements include proceeds from four separate patent cases and two antitrust cases. All of these cases include multiple defendants and all remain active. These investments have thus far been part of the Company's portfolio for between 1.5 years and 3.4 years. The proceeds from the antitrust cases relate to settlements with relatively minor defendants in cases that are part of the portfolio of investments which provide security for the Company's loan to Fields Sullivan PLLC.
The Company has also had a decision in a commercial arbitration matter which, when finalised, will return the majority of the Company's investment in the entire matter. The recent decision relates to only one part of the investment. Related ancillary proceedings are still ongoing for other aspects of the investment. The Company holds a significant equity interest in the entity that retains the rights to the proceeds from the claims and also retains rights to the entity's assets.
Progress in other matters
§ A case involving one of the Company's larger investments was expected to reach an important milestone by year-end. However, this case is not yet completed and proceedings in the case are continuing. Further developments are expected in this case in the first quarter of 2012.
§ Active settlement negotiations are ongoing in three of the Company's five antitrust cases.
§ Two patent investments recently received favourable rulings at their Markman hearing. Trials for these cases are expected in the middle of 2012.
§ As previously disclosed, one patent investment that consists of two related multi-defendant patent infringement cases had one of its cases complete its trial in mid-2011. The jury in this case returned a verdict in favour of the plaintiffs on all liability issues, but awarded damages at a level that will not provide any proceeds to the Company. The second case remains active and the Company's Investment Manager, Juridica Capital Management Limited ('JCML'), expects the outcome of this second case to deliver a profit on the Company's total investment.
§ In 2011 the trial for a case relating to one of the Company's investments was completed and the judge's ruling is expected to be received in early 2012.
New investment
The Company successfully closed a large investment that was noted as pending in the 2010 year-end accounts.
The Company expects to provide a more detailed report on these operating results as part of its audited financial results for the year ended 31 December 2011, which will be released by 30 April 2012.
- 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 David Rydell Olly Scott | +44 (0) 20 7861 3232 |
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 and is listed on AIM, a market operated by the London Stock Exchange (AIM: JIL).
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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