Sale of loan assets

GLI Finance Limited

("GLI" or the "Company")

Sale of loan assets

GLI Finance Limited, a leading investor in the alternative finance sector, today announces that BMS Finance (Ireland) SARL ("BMS Ireland"), a company in which GLI holds a 30.3% interest, has entered into an agreement with BPC Ireland Lending Designated Activity Company ("BPC"), a fund managed by Beach Point Capital (Ireland) DAC ("BPCI"), to sell the entirety of its loan assets at book value. Following the sale of the loan assets BMS Ireland will be wound up with cash distributed to investors (the "Transaction"). For the year ended 31 December 2017, BMS Ireland had gross assets of €25.4m.

Pursuant to the Transaction, GLI expects to receive a cash consideration of approximately £7.0 million, which includes £275,000 payable to BMS Finance AB Limited ("BMS AB"), a wholly owned subsidiary of GLI, which will cease to be the investment adviser to BMS Ireland upon completion of the Transaction.

Three employees of BMS AB will depart and enter into new employment contracts with BPCI. In connection with these arrangements, one of these employees will sell his entire holding of 3,926,692 GLI ordinary shares of no par value ("Ordinary Shares") to Sancus BMS Group Limited ("Sancus BMS"), a wholly owned subsidiary of GLI. 628,271 Ordinary Shares (representing 16% of the total) will be purchased for £1 in aggregate, in accordance with the vesting schedule agreed at the time of issuance, and 3,298,421 Ordinary Shares (representing 84% of the total) will be purchased at the average of middle market price for the 5 days preceding completion of the Transaction. Following the purchase of these shares, Sancus BMS will hold 9,452,521 GLI Ordinary Shares, representing 3.0% of the Company's issued share capital.

The Transaction is subject to, among other things, shareholder approval of BMS Ireland and is expected to close on or before 1 August 2018.

The net proceeds of the Transaction will be redeployed for general investment purposes including the launch of Sancus BMS' property backed lending business in Ireland which is due to commence activities in August 2018. The Company believes that this business should generate a higher return on capital compared to the historic working capital lending business.

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Inside information

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LEI: 213800S2XOO3YSEGCA26