Downing Strate. Regulatory News (DSM)

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF THE MARKET ABUSE REGULATION (EU) 596/2014 AS IT FORMS PART OF UK DOMESTIC LAW BY VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018, AS AMENDED. ON THE PUBLICATION OF THIS ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE, THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.

Downing Strategic Micro-Cap Investment Trust plc (the "Company")

LEI Number: 213800QMYPUW4POFFX69

Announcement of Fourth Special Interim Dividend of 2.2p

As a result of the payment of the Third Special Interim Dividend of 17.5p on 18 July 2024, the Company has returned, in aggregate, 59.5p per share since 28 February 2024 (being the date on which Shareholders approved, at the duly convened general meeting of the Company, the managed wind-down of the Company where cash would be returned promptly to shareholders in an orderly manner while seeking to obtain the best achievable value for the Company's investments at the time of their realisations). 

This represents, approximately 90.2 per cent. of the Company's NAV as at 28 February 2024. The Company now has assets of less than £5.2m of which £1.1m is in cash.

Given the overwhelming support from Shareholders for the managed wind down, the Board has today declared that a further dividend of 2.2p per share (the "Fourth Special Interim Dividend") be paid on 23 August 2024 to shareholders on the Company's register of members at close of business on 2 August 2024. The Company's shares will go ex-dividend on 1 August 2024.

This will amount to aggregate dividends of 61.7 per share having been paid since Shareholders approved a managed wind-down of the Company.

Following the payment of the Fourth Special Interim Dividend, the Company's remaining portfolio is expected to have a value of approximately £4m (a consequent NAV of approximately 8p per share) after provision for liquidation fees. The Board and Investment Manager expect that this remaining portfolio will be able to be realised in an orderly manner at carrying value and distributed to Shareholders by way of further dividend payments as well as through the liquidation process which is likely to occur later in the year subject to Shareholder approval.

Hugh Aldous, Chairman of the Company, commented:

"We urge Shareholders to protect their remaining interest in cash distributions by voting against the proposals in the requisition notice from Milkwood calling for a General Meeting on 5 August 2024. Shareholders have only a few days to ensure they are able to vote against these proposals and allow us to complete the task that you set us in February. As we have repeated several times, if Milkwood wants to gain control of what is now a very small company, they should make a bid for it and stop seeking control on the cheap at Shareholders' expense."