REG - Kingswood Holdings - Kingswood additional debt facility

Kingswood HoldingsAnnouncement

15/08/2024 07:00

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RNS Number : 4945A  Kingswood Holdings Limited  15 August 2024

Kingswood Holdings Limited

("Kingswood", the "Company" or the "Group")

 

Additional Debt Facility

 

Update to Assets under Management & Advice

 

Further to the announcements of 7 May 2024 and 16 February 2024, Kingswood
Holdings Limited (AIM:KWG), the international, vertically integrated wealth
and investment management group, announces an additional £6.0m debt facility
(the "Facility Agreement") to provide the Company with the capital required in
the short term to satisfy upcoming deferred payment obligations on previous
acquisitions undertaken by the Company. The headline terms of the Facility
Agreement are:

 

-       £6.0m facility;

-       Repayment date of earlier of 29 October 2030 or date of an exit
or partial exit; and

-       Interest rate of 12%, paid at maturity.

 

Kingswood is entering into an additional Facility Agreement with an affiliate
of HSQ INVESTMENT LIMITED. Lindsey McMurray and Duncan Gerard are
Non-Executive Directors of the Company and employees of Pollen Street Capital
Limited ("Pollen Street") an affiliate of HSQ INVESTMENTS LIMITED.
Accordingly, entering into the Facility Agreement constitutes a related party
transaction under Rule 13 of the AIM Rules for Companies.

 

As such, the Directors of the Company (other than Lindsey McMurray and Duncan
Gerard) consider, having consulted with Cavendish Capital Market Limited, the
Company's Nominated Adviser, that the terms of the Facility Agreement are fair
and reasonable insofar as the Company's shareholders are concerned.

 

Update on Assets under Management/Advice

 

The first six months of the current financial year has seen an increase in
AuM/A across UK & Ireland. As at 30 June 2024, total AuM/A for the UK
& Ireland was approximately £9.8bn (31 December 2023: £9.4bn). The
period saw outflows in the Company's Assets under Advice in the UK following
the departure of some wealth advisors but the Company benefited from positive
market performance and an increase in AuA in Ireland, which includes the
acquisition of Baseplan in February 2024, such that the Company's UK&I AuA
at 30 June 2024 was approximately £6.0bn (31 December 2023: £5.9bn).
UK&I Assets under management at 30 June 2024 was approximately £3.7bn (31
December 2023: £3.5bn)

 

US AuA at 30 June 2024 was $3.9bn.

 

The Company expects to report its interim results for the period to 30 June
2024 in late September 2024.

 

ENDS

 

For further details, please contact:

    Kingswood Holdings Limited                                     +44 (0)20 7293 0730
    Lucy Whitehead                                                 www.kingswood-group.com (http://www.kingswood-group.com/)
    Cavendish Capital Markets Limited (Nomad & Broker)             +44 (0)20 7220 0500
    Marc Milmo / Abigail Kelly
    GreenTarget (for Kingswood media)                              +44 (0)20 7324 5498

    Jamie Brownlee / Ellie Basle                                   Jamie.Brownlee@greentarget.co.uk (mailto:Jamie.Brownlee@greentarget.co.uk)

 

About Kingswood

Kingswood Holdings Limited (trading as Kingswood) is an AIM-listed (AIM: KWG)
international fully integrated wealth management group with circa £12
billion of assets under advice and management. It services circa 19k clients
from a growing network of offices across the UK with overseas offices in
Ireland, South Africa and the US.

Kingswood offers a range of trusted investment solutions to its clients, which
range from private individuals to some of the UK's largest universities and
institutions, including investment advice and management, personal and company
pensions and wealth planning. Kingswood is focused on building on its position
as a leading player in the wealth and investment management market through
targeted acquisitions, creating a global business through strategic
partnerships.

 

This announcement contains inside information for the purposes of article 7 of
the Market Abuse Regulation (596/2014/EU) as it forms part of UK domestic law
by virtue of the European Union (withdrawal) act 2018 ("MAR").

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