Annual Financial Report

RNS Number : 3616J

Fair Oaks Income Fund Limited

07 April 2015

 



Fair Oaks Income Fund Limited

7 April 2015

FAIR OAKS INCOME FUND LIMITED (the "Company")

(Incorporated in Guernsey under The Companies (Guernsey) Law, 2008, as amended, with registered number 58123 and registered as a Registered Closed-ended Collective Investment Scheme with the Guernsey Financial Services Commission)

ANNUAL FINANCIAL REPORT

The Board of Fair Oaks Income Fund Limited is pleased to release the Annual Report for the period ended 31 December 2014.

Financial Highlights

·       Total NAV return of 4.2% (7.7% annualised)

·       Share price return of 4.3% (7.9% annualised)

·       First interim dividend  of 4.25 US cents per ordinary share for the period ended 31 December 2014

·       Board announced intention to pay monthly dividends of 0.7 US cents followed by a twelfth interim dividend

·       Shares traded at a 2.2% premium to NAV as at 31 December 2014, having traded at an average premium over the year of 2.6%

Company Highlights

·       Strong interest from investors: successful placing of Shares in October raising US 7.5 million, followed by a US 45 million placing in February 2015

·       Market capitalisation of US 127 million as at 31 December 2014

·       Expanded shareholder base

Portfolio Highlights

·       The Company increased the diversity of the portfolio over the year. Exposure to European loan portfolios continued to be low (4%)

·       As at 31 December 2014, the Company had invested in nine investments managed by six different loan managers

·       The Company had look through exposure to over 700 corporates as at 31 December 2014 across 41 sectors

·       The Master Fund, as a control investor, executed its right to amortise T2 Income CLO, generating an expected total return of 19%

Click on, or paste the following link into your web browser to view the associated PDF document.

http://www.rns-pdf.londonstockexchange.com/rns/3616J_-2015-4-2.pdf

Enquiries:

Fair Oaks Income Fund Limited

Email: [e-mail]

Web: www.fairoaksincomefund.com

Fair Oaks Capital Limited

Miguel Ramos Fuentenebro

DDI: [phone]

Email: [e-mail]

Praxis Fund Services Limited

Ben Le Prevost

DDI: [phone]

Email: [e-mail]

Camarco

Edward Gascoigne-Pees

Hazel Stevenson

DDI: [phone]

Email:  [e-mail] / [e-mail]

Numis Securities Limited

Nathan Brown, Corporate Broking

DDI: [phone]

Email: [e-mail] 

Fair Oaks Income Fund Limited

Fair Oaks Income Fund Limited is an authorised closed-ended investment company incorporated in Guernsey. The Company was admitted to trading on the Specialist Fund Market of the London Stock Exchange on 12 June 2014. The Company's ordinary shares have the TIDM: FAIR and ISIN: GG00BMBN1D14.

The investment policy of the Company is to seek exposure to US and European CLOs or other vehicles and structures which provide exposure to portfolios consisting primarily of US and European floating-rate senior secured loans and which may include non-recourse financing. The Company will implement its investment policy by investing in Fair Oaks Income Fund LP (the "Master Fund").

The investment objective of the Company is to generate attractive, risk-adjusted returns, principally through income distributions. On the basis of market conditions as at the date of its prospectus, and based on the $1 per share issue price, the Company is targeting a net total return of between 12 and 14 per cent. per annum over the planned life of the Master Fund.

Notes

*This is a target only and not a profit forecast. There can be no assurance that this target will be met or that the Company will make any distributions at all. This target return should not be taken as an indication of the Company's expected or actual current or future results. The Company's actual return will depend upon a number of factors. Shareholders and potential investors should decide for themselves whether or not the return is reasonable and achievable.

 

END

 

 

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