(Alliance News) - Pollen Street Secured Lending PLC on Friday reported a rise in annual net asset value and said that it is reviewing all options to protect shareholders' interests.
Chair Simon King said: "In these difficult and unprecedented circumstances, protecting shareholders' interests remains the board's key priority. Therefore the board is reviewing all of its strategic options including the possible cash offer, the timing and process for the appointment of a new investment manager, the bringing forward of the company's continuation vote, and the appropriate use of the cash currently being generated by the portfolio".
The investment trust, which which invests in credit assets from non-bank lending platforms, is in talks with Waterfall Asset Management LLC in relation to a possible cash offer for the entire issued share capital of Pollen Street.
Separately, the company also has served a 12-month termination notice to its investment manager
PSC Credit Holdings LLP over handling of a takeover approach from Waterfall. The company has accused its investment manager of withholding due diligence information.
For 2019, the trust recorded a net asset value per share of 965.4 pence, up from 963.9p a year ago.
The company delivered a NAV return of 5.25% for 2019 versus 5.21% and paid dividends of 48.0p compared with 48.0p.
Pollen Street's share price at December 31 was 830p, representing a discount to NAV of 14.0%. The discount to NAV was in the range of 10.8% to 16.3% over the course of the year.
Due to the discount, the company continued its share buyback program throughout 2019, with 1.7 million shares being repurchased at an average price of 823.4p, which contributed 0.3% to the NAV return.
Shares in Pollen Street Secured Lending closed 1.5% lower at 680.00p each in London on Friday.
By Tapan Panchal; tapanpanchal@alliancenews.com
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