Real Est.cred Regulatory News (RECI)

28 October 2021

Real Estate Credit Investments Limited

Investment Manager's Q2 Investor Presentation

Real Estate Credit Investments Limited ("RECI" or "the Company") is pleased to announce that the Investment Manager's Q2 Investor Presentation is now available on the Company's website at:

https://www.recreditinvest.com/investors/results-reports-and-presentations/#currentPage=1

An extract from the Summary section of the presentation is set out for investors in the Appendix to this announcement.

For further information, please contact:

Broker: Richard Crawley / Darren Vickers (Liberum Capital) +44 (0)20 3100 2222

Investment Manager: Richard Lang (Cheyne) +44 (0)20 7968 7328

Appendix: Q2 Investor Presentation Extract

Summary: The Investment Opportunity

· Attractive returns from low LTV credit exposure to UK and European commercial real estate assets

• Weighted Average LTV of 65.4% as at 30 September 2021

• Predominantly large, well-capitalised, and experienced institutional borrowers

· Quarterly dividends delivered consistently since October 2013

• The Company has consistently sought to pay a stable quarterly dividend

• This has led to a stable annualised dividend of around 7% of NAV

· Highly granular book

• 61 positions

· Transparent and conservative leverage

• Net leverage 16.8% (with £58.4m cash) as at 30 September 2021

· Access to established real estate investment team at Cheyne, which manages over $4bn AUM

· Access to pipeline of enhanced return investment opportunities identified by Cheyne

· Robust mitigation against a rising rates environment

• A high yielding portfolio, combined with a short weighted average life of under 2 years, ensures minimal exposure to yield widening and the ability to redeploy quickly at higher rates

Key Quarter Updates

· Portfolio

• No defaults in the portfolio

• Successful and favourable completion on the last remaining hotel loan restructuring

• Migration of portfolio to senior lending in keeping with the compelling opportunity set therein

• 11 new deals completed (£122m of commitments) since 31 March 2020, showing strength of opportunity post the initial impact of Covid

· Cash

• Cash reserves remain robust at between 5% to 10% of NAV

· Dividend

• Dividends maintained at 3p per quarter, 7.7% annualised yield, based on share price, as at 30 September 2021

• Dividend cover from net profits 1.09x

· Term matched financing

• Successful conclusion of 1st term matched financing on a senior loan deal

· Opportunities

• Bank lending remains constrained across Europe and high barriers to entry secures a continued compelling investment landscape, especially in senior lending

Summary: Structural Strength - Positioned to Capitalise on Opportunities

· Having successfully navigated through the challenges posed by the COVID-19 pandemic, RECI is well positioned to address future market uncertainty, with a strong portfolio profile and modest leverage comprising:

• Senior loans and bonds equal to 76% of NAV

• Weighted average LTV of 65.4%

• The portfolio is concentrated on credits to large, well-capitalised and experienced institutional borrowers

• Leverage of 1.29x gross (1.12x net of cash held) as at 30 September 2021

• Started to introduce term financing on senior loan investments

• Cash on balance sheet of £58.4m

· The Company has good visibility on its liquidity and income profile for the next financial year ending March 2022, and beyond

· The Company is positioned to take advantage of a new pipeline of opportunities from a position of strength:

• Cheyne's real estate business' current pipeline comprises £0.8 billion across 14 deals