TIDMSSIF

RNS Number : 5046Q

Secured Income Fund PLC

26 February 2021

26 February 2021

Secured Income Fund plc

Publication of a circular

Proposed B Share Scheme

Secured Income Fund plc (LSE: SSIF) (the "Company"), a specialist secured lending income investment trust, listed in the UK, is pleased to announce details of its proposals to introduce a mechanism to enable surplus cash to be returned to Shareholders in due course through a compulsory procedure involving a bonus issue, on a pro rata basis, of B Shares followed by the redemption of such B Shares at the option of the Company.

The introduction of the B Share Scheme requires Shareholder approval, which will be sought at a general meeting of the Company to be held at 16 Charlotte Square, Edinburgh EH2 4DF at 1.30p.m. on 23 March 2021. Subject to such approval being obtained at the General Meeting, the Company will be able to make future capital returns through the issue and redemption of B Shares without the need for further Shareholder approval. This will be a less costly way of returning capital than tender offers and can be achieved more quickly. It also ensures that all Shareholders are treated equally as capital is returned to all Shareholders on a pro rata basis.

A circular containing further detail of the proposed B Share Scheme and the notice convening the General Meeting has today been published by the Company (the "Circular"). A copy of the Circular will be submitted to the National Storage Mechanism and will shortly be available for inspection at https://data.fca.org.uk/#/nsm/nationalstoragemechanism . The Circular will also be available on the Company's website ( https://kkvim.com/secured-income-fund/ ).

Proposed return of capital

Subject to the passing of the B Share Resolutions at the General Meeting, the Board intends to return GBP 5,266,035 to Shareholders via an issue of B Shares. B Shares of GBP1 each will be paid up from capital and issued to all Shareholders by way of a bonus issue pro-rata to their holding of Ordinary Shares on the basis of one B Shares for every ten Ordinary Shares held at the Record Date of 6.00 p.m. on 23 March 2021. The B Shares will be issued 24 March 2021 and immediately redeemed at GBP1 per B Share. The Redemption Date in respect of this Return of Capital is 24 March 2021. The proceeds from the redemption of the B Shares, which is equivalent to 10 pence per Ordinary Share, will be sent to Shareholders through CREST to uncertificated shareholders or via cheque to certificated shareholders. The capital being returned represents 12.77 per cent. of the Company's Net Asset Value as at 31 January 2021, being the latest published Net Asset Value prior to the publication of this Circular.

Timetable

It is expected that the timetable will be as follows:

 
 Publication of the circular                   26 February 2021 
 Record Date of initial Return       6.00 p.m. on 23 March 2021 
  of Capital 
 Ex date in respect of initial                    24 March 2021 
  Return of Capital 
 Redemption Date of initial Return                24 March 2021 
  of Capital 
 Payment date for CREST                           31 March 2021 
 Dispatch of cheques in respect                   31 March 2021 
  of uncertificated holders 
 

All redemption payments will be paid gross of tax.

Defined terms used in this announcement have the meanings given in the Circular unless the context otherwise requires

For further information please contact:

 
 
 Directors 
  David Stevenson (Chair)        tel: +44 7973 873785 
  Susan Gaynor Coley             tel: +44 7977 130673 
  Brett Miller                   tel: +44 7770 447338 
 KKV Investment Management     email: Investor.communications@kkvim.com 
  Ltd 
  Catherine Halford Riera 
 finnCap Ltd.                  tel: +44 20 7220 0500 
  Corporate Finance: William 
  Marle / Giles Rolls 
  Sales: Mark Whitfeld 
 

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February 26, 2021 06:00 ET (11:00 GMT)