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Market Cap: £691.82m
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3 Jul 2014 07:00

RNS Number : 2876L
Burford Capital
03 July 2014
 



3 July 2014

BURFORD CAPITAL CONTINUES STRONG PERFORMANCE

 

Investment returns rise to 63% on invested capital

 

Burford Capital Limited ("Burford"), the world's largest provider of investment capital and risk solutions for litigation, intends to release its interim financial statements for the six months ended 30 June 2014 on 4 September 2014.

 

In advance of that release, Burford provides the following performance update for the six month period ended 30 June 2014 (the "period"):

 

· Continued strong investment returns: Since inception, 26 investments have generated $173.9 million in gross investment recoveries and $67 million net of invested capital, producing a 63% net return on invested capital1

 

o This represents a 67% increase, $27 million, over the net position at 30 June 2013

 

· Material increase in cash generation: Burford generated $41.9 million of cash from the investment portfolio in the period, an increase of 94% over the comparable 2013 period

 

· Ongoing demand for Burford's capital reflected in $62 million of new capital committed in the period, a five-fold increase over the comparable 2013 period

 

· Successful completion of an innovative financing transaction with Rurelec PLC, a publicly-traded power generation company, that provided recourse financing linked to an arbitration claim, which provided an $11 million profit to Burford (a 73% return and a 34% IRR) while providing Rurelec with expansion capital

 

Christopher Bogart, Burford's CEO, commented: "Burford's performance continues to vindicate our approach to investment selection and the quality of our team. Moreover, the volume of new commitments made during the last six months shows clearly the market demand for litigation finance solutions - and the success of the Rurelec transaction we announced last month shows our continued market leadership in innovating to meet that demand."

 

1 Term definitions and computation methodology are as set forth in Burford's 2013 annual report.

For further information, please contact:

 

Macquarie Capital (Europe) Limited - NOMAD and Joint Broker

Steve Baldwin +44 (0)20 3037 2000

Nicholas Harland

 

Espirito Santo Investment Bank - Joint Broker

John Llewellyn-Lloyd +44 (0)20 7456 9191

Harry Stockdale

 

RBC Capital Markets - Joint Broker

Oliver Hearsey +44 (0)20 7653 4000

 

FTI Consulting - PR for Burford Capital

Edward Berry +44 (0)20 3727 1046

Laura Ewart +44 (0)20 3727 1160

 

About Burford Capital

 

Burford Capital is the world's largest provider of investment capital and risk solutions for litigation with the largest and most experienced dedicated team in the industry. Burford is publicly traded on the London Stock Exchange's AIM market under the ticker symbol BUR. Burford provides a broad range of corporate finance and insurance solutions to lawyers and clients engaged in significant litigation and arbitration around the world.

 

For more information about Burford, visit www.burfordcapital.com

 

 

This information is provided by RNS
The company news service from the London Stock Exchange
 
END
 
 
TSTEAKXAEDFLEFF
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