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UPDATE 1-Investors push for board seats to help wind down Ranger Direct fund

Tue 12th June, 2018 3:35am
(Adds comment from LIM)
    By Liana B. Baker
    NEW YORK, June 11 (Reuters) - Two large investors in Ranger
Direct Lending Fund  RDL.L , Oaktree Capital Management  OAK.N 
and LIM Advisors, said they would continue a push to elect their
board nominees at the closed-end fund that announced it was
winding itself down.
    Ranger Direct Lending is listed in the U.K. but is a mostly
North American credit portfolio. A wind-down means Ranger will
close down its investments and return its more than $200 million
assets to shareholders.
    On Monday, Ranger said it would abandon its plan to bring
aboard Ares Capital Management  ARES.N  as its investment
manager, following pushback from activist shareholders who
wanted the fund shut down instead. 
    Ranger added that it would appoint additional independent
directors to its board after consulting with shareholders to
help shut down the fund, but does not support any board nominees
selected by Oaktree, or another dissident shareholder that has
nominated directors, Hong Kong-based investment adviser LIM
    Rangers' earlier plan to appoint Ares and continue to trade
publicly was opposed by Oaktree, a Los Angeles-based alternative
asset manager with $121 billion under management and the
second-largest shareholder in the company.
    Ranger did not respond to a request for comment on Oaktree's
    LIM Advisors is the third-largest investor in Ranger and
also supports the shutdown. Together, the duo owns about 30
percent of Ranger's stock as of Monday. LIM said in a statement
that Ranger's move to wind down the fund was a positive outcome,
but urged shareholders to vote out the fund's chairman and to
support the nominees proposed by both LIM and Oaktree.
    While Oaktree supports Ranger's shutdown, it said in its
letter Monday that the nominees it proposed, Dominik Dolenec and
Greg Share, would help Ranger wind down the fund in an efficient
    A shutdown of the fund will see it halt investing in new
loan portfolios and allow existing ones to mature, thereby
returning cash to investors over a period of up to 18 months or
so, according to a previous Oaktree letter.
    Shareholders votes are due before this Friday, ahead of
Ranger's annual general meeting on June 19. 
    Ranger had a market capitalization of 129.95 million pounds
($173.86 million) on Monday.
    ($1 = 0.7474 pounds)

 (Reporting by Liana B. Baker in New York
Editing by Tom Brown and Stephen Coates)
 ((liana.baker@thomsonreuters.com; 6462234850 @lianabaker;
Reuters Messaging: liana.baker@thomsonreuters.com@reuters.net))
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