Litigation Cap. Share News (LIT)

(Sharecast News) - Disputes financier Litigation Capital Management said on Monday that its debt covenant waiver with Northleaf had been extended by a month, but also warned of negative developments in two case investments.

Litigation Capital said its debt covenant waiver with Northleaf, which had been due to expire on 30 May, has been extended to 30 June, but stated the interest rate on the loan will remain 2% higher during the waiver period, in line with the original terms. It also highlighted that no additional one‑off fee will be charged.

The AIM-listed company also flagged negative developments in two case investments, where it has around AUD $9m (£4.8m) of capital deployed and said it was reviewing both matters as it expects to recognise material write‑downs in its next financial statements.

LCM added that its strategic review, first announced in September 2025, was continuing, and that the waiver extension reflected Northleaf's ongoing support while the group works toward a long‑term solution for its capital structure.

As of 1010 BST, Litigation Capital shares had sunk 13.46% to 3.60p.

Reporting by Iain Gilbert at Sharecast.com

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