30 Aug 2011 07:00
Greenwich Loan Income Fund Limited
NAV Update for the quarter ended 30 June 2011
30 August 2011
Greenwich Loan Income Fund Limited ("GLIF" or "the Company") announces that as at 30 June 2011, its unaudited net asset value (NAV) per share was 70.6p. This compares to the revised unaudited NAV of 71.2p per share as at 31 March 2011 (previously reported as 70.3p). The decrease in NAV during the most recent quarter is primarily attributable to a small decline in the fair value of the investment portfolio, as well as a slight increase in the fair value of the Company's liabilities.
Excluding the investments held in its AMIC subsidiary, the weighted average market bid for the Company's investment portfolio at the quarter end was 94.9% of par, and for the liabilities 85.4%. This compares to last quarter's figures of 95.5% of par and 85.2% respectively.
As previously described to shareholders, under International Financial Reporting Standards (IFRS), the consolidated results of operations for the Company include the impact of carrying its investments and its liabilities at fair value. Shareholders should be aware that the Company's realisation of the full NAV is unlikely. The NAV, as calculated in accordance with IFRS, reflects the theoretical fair value of the liabilities of the CLO but, because the market is rather illiquid, it may be difficult for the Company to acquire any or a significant portion of those liabilities.
The other two values customarily calculated to provide further clarity as to the dynamics within the value of the business are as follows:
- the value based upon assets at market value and liabilities at par was 47.6p per share as at 30 June 2011, compared to 45.4p per share as at 31 December 2010.
- the value based upon CLO assets as calculated for interest diversion purposes, remaining assets at market, and liabilities at par was 51.7p per share as at 30 June 2011, compared to 52.8p as at 31 December 2010.
It should be noted that the figures presented herein are unaudited, and may be subject to revision.
Contacts:
Geoffrey Miller
Greenwich Loan Income Fund Limited
+353 1 4433 466
Patrick Conroy
Greenwich Loan Income Fund Limited
+1 203 983 5282
Philip Secrett
Nominated Adviser
Grant Thornton Corporate Finance
+44 207 383 5100
James Maxwell
Singer Capital Markets Limited
+44 (0) 20 3205 7622
Ed Gascoigne Pees
Financial Dynamics
+44 (0) 207 269 7132