This announcement contains inside
information for the purposes of Regulation 11 of the Market Abuse
(Amendment) (EU Exit) Regulations 2019/310 (as amended). Upon the
publication of this announcement via a Regulatory Information
Service, this inside information is now considered to be in the
public domain.
Life Settlement Assets PLC (the
"Company")
LEI:
2138003OL2VBXWG1BZ27
(the "Company" or
"LSA")
Update on MBC
settlement
In the Annual Report released on 30 April 2024
the Company reported that it had successfully acquired the policies
held by the Mutual Benefit Keep Trust ("MBC"). At the time of
the Report the US Courts had approved the transaction, and the
Company had paid the purchase price of the policies. The Company
already owned the beneficial interests in approximately 66% of the
value of these MBC policies and hence it would receive its share of
the proceeds, less costs, once the winding down of the MBC had been
agreed.
As a post balance sheet event, the Annual Report
also stated "Since the year end, the Board has been informed that
the Company should receive additional proceeds from the MBC Action
as a result of overpayments of premiums on fractional policies made
on the instruction of the MBC Trust. Whilst the amount of the
proceeds is still in the process of being quantified it may be up
to USD 4 million which, once verified, should result in a further
increase to NAV during 2024. Due to the lack of certainty
surrounding the amount involved, this has not been accounted for in
these Financial Statements. In the circumstances, the
Directors consider this accounting treatment to be appropriate, but
it gives rise to a potential understatement of net assets, which
has caused the Auditors to qualify their opinion on this specific
issue. A further announcement confirming the final details
relating to these additional proceeds will be made when
appropriate."
The Company is pleased to announce that on 28
August 2024 it received notification from the Company's trustee in
the United States that the monies amounting to USD 9.7 million had
been received comprising the first tranche of the sale proceeds of
USD 5.7 million and the return of premiums of USD 4.0 million.
The Company is in the process of reviewing the information
received and will incorporate this into the net asset value for end
July 2024 which is expected to be announced
shortly.
For further information contact
Acheron Capital Limited (Investment
Manager)
Jean-Michel Paul
020 7258 5990
Shore Capital (Financial Adviser and
Broker)
Gillian Martin / Anita Ghanekar / Harry
Davies-Ball
020 7408 4090
ISCA Administration Services Limited
Company Secretary
Tel: 01392 487056
Notes to Editors
Life Settlement Assets PLC is a closed-ended
investment trust company which invests in, and manages, portfolios
of whole and fractional interests in life settlement policies
issued by life insurance companies operating predominantly in the
United States. The Company seeks to generate long-term returns for
investors by investing in the life settlement market, through each
of the separate Share Classes. The Company aims to manage its
investment in portfolios of life settlement products so that the
realised value of the policy maturities exceeds the aggregate cost
of acquiring the policies, ongoing premiums, management fees and
other operational costs.
