LONDON (Alliance News) - Honeycomb Investment Trust PLC on Wednesday said it is actively considering a sale of new shares, citing a "strong pipeline" of opportunities to deploy funds in line with its targeted annual net return on loan investments of 10% or greater.
Based on the investments it has committed to and the currently available pipeline of investment opportunities, Honeycomb said on Wednesday, it expects its unlevered, net annual returns on loan investments on full deployment of the proceeds of its initial public offering in December to be 12% or more after expected default losses and servicing costs.
"We are glad to say Honeycomb has been delivering ahead of the plan set out to investors at its IPO. The first dividend is intended to be declared in May, and the prompt deployment of funds means that Honeycomb can move towards providing its shareholders with dividends ahead of its target during this year," Lindsey McMurray, chief executive of investment manager Pollen Street Capital Ltd, said in a statement.
"Opportunities continue to be strong in both portfolio acquisitions and organic origination through focusing on delivering high quality lending products in under-served markets," McMurray said.
The trust raised GBP100 million in its December IPO. It invests in loans made to consumers and small businesses.
Honeycomb shares were untraded on Wednesday, having last traded at 1,000.00 pence.
By Samuel Agini; samagini@alliancenews.com; @samuelagini
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