Liquidity Management

RNS Number : 0144A

BlueCrest AllBlue Fund Ltd

26 March 2012

 



26 March 2012          

BlueCrest AllBlue Fund Limited

Liquidity Management

The Board of BlueCrest AllBlue Fund Limited (the "Company") announces that the Company intends to make a small change to its allocation strategy.  The stated policy of the Company is to invest substantially all of its assets into AllBlue Limited ("AllBlue").  To date, the Company has invested 100% of its assets in AllBlue and has, on occasion, drawn on a small overdraft facility to enable the payment of operating expenses.

The Company has placed an order to redeem a portion of its investment in each share class of AllBlue (on a pro rata basis) in order to generate a cash reserve for the purposes of managing day-to-day cash flows, for meeting expenses of the Company and for funding any repurchases of Shares.

In order to maintain a substantially similar economic exposure to AllBlue, the Company will be investing an appropriate amount of the redemption proceeds into shares in AllBlue Leveraged Feeder Limited ("AllBlue Leveraged").

AllBlue Leveraged invests all of its assets in the ordinary shares of AllBlue but with the addition of leverage of 50 per cent of its net asset value, giving investment exposure which is 1.5 times that of AllBlue (excluding all fees and expenses attributable to such investments).

The effect of these arrangements will be that the Company's aggregate investment exposure to AllBlue will remain broadly the same whilst providing access to more immediate liquidity. 

The Company expects the redemption from AllBlue and re-investment in AllBlue Leveraged to take place on 2 April 2012. The initial cash reserve is expected to amount to approximately 3 per cent. of the total assets of the Company.  The Company's overdraft facility will be repaid and cancelled in due course.

The Board will keep the level of the cash reserve to be maintained by the Company under review by reference to prevailing circumstances, including the discount or premium at which the Company's shares trade from time to time.

Enquiries:

Gary Gould	Tel: [phone]
Jefferies Hoare Govett
Ravi Anand Dexion Capital plc	Tel: [phone]
Anson Fund Managers Limited Secretary	Tel: [phone]

E&OE - in transmission

 

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