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Portfolio Update

28 Jun 2010 07:00

RNS Number : 3043O
Juridica Investments Limited
28 June 2010
 



Juridica Investments Limited

 

("Juridica" or the "Company")

 

 

Portfolio update

 

 

Juridica, a leading provider of capital to the law market, provides the following portfolio update.

 

The Company is pleased to report a new investment in a patent portfolio from a Fortune 500 company and a supplemental investment in an existing case that insures a minimum return on the investment.

 

On 4 June 2010, Juridica made a $1.5 million investment in a new patent matter designated Case 0210-M. This is the Company's second acquisition of a patent portfolio asset directly from a Fortune 500 company. The patent portfolio covers digital advertising technology where the claimholder expects a complaint to be filed against seven or more defendants during the third quarter of 2010. This new investment has broadened Juridica's relationships which now include an additional Am Law 100 firm and one of the top intellectual property trial lawyers in the US.

 

On 22 April 2010, Juridica made a $400,000 supplemental investment in Case 6509-A by purchasing an insurance contract that provides certainty to Juridica's minimum returns from this case. The underlying case involves a significant judgement for breach of contract, fraud and related claims. The judgement was rendered in a US Federal court and is currently under appeal. Obtaining this insurance contract reflects the Company's strategy to manage investment risk and its desire to lock-in returns when appropriate. The terms of the insurance contract provide that the insurer will pay the Company either:

a) $4.0 million if the case fails on appeal or at any future trial if the case is remanded for a new trial;

b) the difference between $4.0 million and any settlement less than $4.0 million; or

c) $4.0 million if the case is not completed within five years from the policy's date of inception.

 

Juridica's initial investment in Case 6509-A was $2.0 million. Once this case is resolved, the Company is entitled to a return of its $2.0 investment plus a premium calculated with regard to the time elapsed from the date of investment to the date of final resolution which, depending on timing, ranges from $2.0 million to $5.5 million.

 

Richard W. Fields, Chairman and Chief Executive of Juridica Capital Management, the Investment Manager, said: "We are delighted that an A.M. Best Company 'A' rated insurer has recognised the investment quality of our portfolio. This insurance policy is an industry first and eliminates Juridica's risk profile for this particular investment."

 

 

- Ends -

 

 

For more information contact:

 

Juridica Capital Management

Richard W. Fields

 

+1 866 443 1080

 

 

Cenkos Securities plc (Nominated Adviser and Broker)

Nicholas Wells

Camilla Hume

 

+44 20 7397 8900

 

 

 

Pelham Bell Pottinger

David Rydell

Olly Scott

 

+44 20 7861 3232

 

 

 

 

 

About Juridica

 

Juridica is a leading provider of capital to the business community and the legal market. It invests directly and indirectly in a diversified portfolio of commercial claims and disputes. The Company's objective is to be the premier source of value-added and direct financing or large business claims, especially in the United States and the United Kingdom.

 

Our clients are Fortune 1000 companies, FT Global 500 companies, small businesses, inventors, major universities and the leading law firms that represent them. Juridica accepts only cases that have already been carefully vetted and accepted by qualified lawyers, does not invest in speculative cases and accepts only a small fraction of the cases reviewed.

 

The Company focuses exclusively on business-to-business related claim investments. It does not invest in shareholder class actions, personal injury, product liability, or mass tort claims.

 

Juridica was established on 21 December 2007 as a limited liability, closed-ended investment company registered in Guernsey. It has over US$200 million of assets under management and is listed on AIM, a market operated by the London Stock Exchange (AIM: JIL).

 

The Company has appointed Juridica Capital Management Limited as its exclusive investment manager to locate, select and manage direct and indirect investments in cases, claims and disputes.

 

For more information visit Juridica at http://www.juridicainvestments.com

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