REG - Blackstone Loan Fin - Proposed Managed Wind-Down of the Company

Blackstone Loan FinancingAnnouncement

23/06/2023 18:15

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RNS Number : 8034D  Blackstone Loan Financing Limited  23 June 2023

The information contained within this announcement constitutes inside
information.

 

23 June 2023

 

Blackstone Loan Financing Limited

 

(the "Company")

 

Proposed Managed Wind-Down of the Company

 

Blackstone Loan Financing Limited announces that after extensive consultation
with its advisers, the board of directors (the "Board") has decided to put
forward proposals for a managed wind-down of the Company (the "Managed
Wind-Down"). The Board and Blackstone Ireland Limited (the "Investment
Adviser") unanimously recommend that shareholders vote in favour of the
Managed Wind-Down of the Company, which they believe to be in the best
interest of shareholders, for the reasons set out below.

The performance of the Company has proved resilient over its nine-year life,
which has spanned a variety of market conditions. Its strong performance has
been supported by its underlying investments, which have provided shareholders
with uninterrupted cashflows and high current income, despite many periods of
volatility.

However, in reaching this decision, the Board took into account a number of
factors, including the prevailing discount to net asset value at which the
shares have been trading, the market capitalisation and liquidity of the
shares, and the Company's structure. Furthermore, it was recognised that while
the Company's share price continues to trade at a discount to net asset value,
it is limited in its reinvestment opportunities and ability to grow through
further share issuance. The Board therefore believes that an orderly
realisation of the Company's investments will be in the best interest of
shareholders as a whole.

Approval of the wind down will not result in an immediate liquidation of the
Company, rather an orderly realisation of the Company's underlying assets in a
manner consistent with regulatory risk retention requirements and other
contractual restrictions on the liquidity of the Company's portfolio. Capital
will be returned to shareholders as the Company's underlying CLOs are matured
or redeemed and in a manner that seeks to maximise shareholder value. The
Board intends to maintain the Company's listing during the realisation period.
The Board intends to maintain its current target level of dividend until the
commencement of the orderly realisation.

Accordingly, the Board intends to publish a shareholder circular by the end of
September 2023 (the "Circular") to convene an extraordinary general meeting
(the "EGM") at which it will seek approval from shareholders for the Managed
Wind-Down and any related matters required to facilitate an orderly
realisation.

 

The person responsible for arranging for the release of this announcement on
behalf of the Company is Priya Mooroogen of BNP Paribas S.A., Jersey Branch,
Company Secretary.

 

Enquiries:

 

Blackstone Loan Financing
Limited
via BNP Paribas

Charlotte Valeur, Chair

 

BNP
Paribas
           01534 709189 / 813967

 

Singer Capital
Markets
          020 7496 3000

James Maxwell / Alaina Wong (Corporate Finance)

Alan Geeves / Sam Greatrex (Sales)

 

Winterflood Investment
Trusts
020 3100 0000

Neil Langford (Corporate Finance)

Darren Willis (Sales)

 

 

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