In QuotedData’s morning briefing 5 March 2024:
- The shareholder consultation exercise that GCP Asset Backed Income (GABI) was undertaking in connection with its strategic review is complete. Shareholders have expressed a broad range of views. Expect to see an announcement on the way forward in the week beginning 11 March 2024.That could include selling the whole company.
- abrdn Asian Income Fund (AAIF) has renewed its three-year multi-currency revolving credit facility with Bank of Nova Scotia for an increased sum of £50m, secured by a floating charge, for one year. Under the terms of the facility, the company also has the option to increase the level of the commitment from £50m to £70m at any time, subject to the lender’s credit approval. HKD73.5m, US$8.85m and £17.8m has been drawn down for a one month interest period. The company’s £10m fixed rate loan, which matures today, has not been renewed.
- Separately abrdn Asian Income Fund (AAIF) has renegotiated its management fee. This will now be based on the lower of market cap or NAV [which we welcome]. The fee is 0.75% on the first £300m and 0.60% for amounts exceeding this threshold. This is anticipated to decrease the company’s overall ongoing charges for the financial year ending December 31, 2024, by approximately 17% compared to the previous year.
- Home REIT (HOME) says that it intends to bring legal proceedings against those parties it considers are responsible for the wrongdoing that led to the downfall of the company. The Financial Conduct Authority has already commenced an investigation into the company. In its monthly update, the company also says that it is making progress in stabilising the company, with 77% of its properties now undergone internal inspections. The majority of the portfolio has been identified as private rented sector (PRS) rather than homeless accommodation backed by exempt rents from local authorities. Since August 2023, the company has sold 394 properties for £74.6m, £0.9m (1.2%) above the draft JLL August 2023 valuations. This has helped it reduce its debt exposure from £220m to £149.1m.