REG - ICG-Longbow Senior - Trading Update

ICG Longbow Senior Secured UK Property Debt InvestmentsAnnouncement

20/06/2023 18:15

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RNS Number : 3559D  ICG-Longbow Snr Sec UK Prop DebtInv  20 June 2023

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20 June 2023

ICG-Longbow Senior Secured UK Property Debt Investments Limited (the Company)

Trading Update

 

The Company announces its unaudited NAV for the quarter ended 30(th) April
2023, at £69.96 million, or 57.67 pence per ordinary share (31(st) January
2023: £77.35m, and 63.77 pence per ordinary share).  The reduction in the
NAV is primarily a result of the £6.7m (5.5 pence per share) capital
distribution made during the quarter together with the payment of a dividend
of 0.5 pence per share in respect of the quarter ended 31(st) January 2023.
As highlighted in our annual report the Company continues to make provisions
for impairment against interest receivable on the Southport and Royale loans,
and as a result there was no material change in underlying NAV in the period.

 

In accordance with the guidance given to shareholders in the Company's recent
annual report and accounts, dividends will only be paid when profits and
cashflow prudently allow.  As a consequence, the Company has not declared a
dividend for the quarter ended 30(th) April 2023.

 

During the period and since quarter end, the Company received a total of £6.5
million in partial repayment of the Northlands loan facility, and, with
several further assets under offer for sale, the remaining £3.0 million
balance is expected to be repaid in the coming weeks.

 

Cash held at period end was £6.8 million and, following this anticipated
repayment, the Board expects that a further capital distribution to
shareholders will be made in due course.

 

As set out in the Company's recent annual report and accounts, exit processes
are continuing for the remaining loans, with assertive action being taken by
the Investment Manager.  The Southport hotel asset remains under offer for
sale, subject to certain conditions including third party consents which the
parties are working to discharge.  The hotel itself continues to operate
normally with the most recent trading performance at encouraging levels.

 

The property securing the Affinity loan remains on the market for sale, with
current occupancy in excess of 90% and the remaining vacant suite in the
building currently under offer for lease.  Interest (including a default
interest charge) continues to be paid in full.

 

As previously reported, the Company, in conjunction with its co-lenders,
appointed administrators over certain of the vehicles within the RoyaleLife
group, following the filing of a winding up petition which has subsequently
been withdrawn.  Following the appointment, the Company continues to work
with the Investment Manager, the Administrator and their advisers to secure
the most favourable outcome for its shareholders, with several options being
pursued concurrently.

 

The Company will continue to keep shareholders updated with any material
changes to the portfolio.

 

For further information, please contact:

 

 Ocorian Administration (Guernsey) Limited
 Louise Manklow                                               +44 (0)14 8174 2742

 Cenkos Securities:
 Will Talkington                                              +44 (0)20 7397 1910

 Daniel Balabanoff                                            +44 (0)20 7397 1909

 ICG Real Estate

 Clare Glynn                                                  +44 (0)20 3545 2000

 

Further information on the Company can be found on its website at
http://www.lbow.co.uk (http://www.lbow.co.uk) .

ICG Longbow LEI: 2138008BKBH3OP2CA764

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