NAV Performance

The NAV % Total Return for August 2024 was 1.69%, which takes the NAV % Total Return to 3.67% over the past six months, and 5.67% over the past 12 months.

The NAV as at 31^st August 2024 was 88.59 pence per Ordinary Share, which was 0.127 pence lower than at 31^st July 2024. This minor reduction in NAV was predominantly driven by the Q2 2024 dividend which was announced in August 2024 and paid for in September 2024. Excluding this Dividend payment, the NAV rose by 1.498 pence per Ordinary Share, driven by a positive interest income of 0.228 pence per Ordinary Share, net of expenses, and an increase in portfolio valuation of 1.270 pence per Ordinary Share.

Portfolio Activity

As at 31^st August 2024, the Company's invested portfolio had an aggregate nominal outstanding of circa £90 million across 21 investments. The average yield was 11.57%, with a weighted average loan life remaining of circa 1.22 years¹⁰. Overall, the portfolio is 96% invested in private market assets and 4% in public bonds.

During the reporting month, Investment Loans Ref #81 and Ref #98 were repaid in full at par, c.£0.7m. Regarding Ref #98, this prepayment was achieved well in advance of its legal maturity of July 2028 and will further assist in reducing the tail-end of the invested portfolio.

Cash balances at end of August 2024 stood at circa £18.6m of which circa £1.5m will be retained by the Company largely to fund committed facilities which have yet to be drawn as well as to retain required working capital. In addition, the Company will retain funds to cover the forecasted tender offer related costs as well to hold sufficient funds for corporate purposes.

Further and post period end, RM successfully recovered £3.6m for investment loan Ref #79, in line with previous assumptions shared with Shareholders.

The Company announced on 3^rd September 2024 the publication of a circular to Shareholders which contains details of a tender offer of up to £20m to be made to Shareholders. Final details for said tender offer are expected to be announced on 19 September 2024 with completion of the tender offer expected on 26 September 2024.