Fund Management Fee

RNS Number : 0429H

Residential Secure Income PLC

01 April 2022

 

01 April 2022

Residential Secure Income plc

Satisfaction of the Equity Portion of the Fund Management Fee

Residential Secure Income plc ("ReSI") (LSE: RESI) announces that, in accordance with the terms of the Fund Management Agreement with ReSI Capital Management Limited (the "Fund Manager") pursuant to which 25 per cent of the fund management fee is payable in the form of Ordinary Shares (the "Equity Portion") rather than cash, it has today issued 106,661 Ordinary Shares of the shares held in Treasury (the "Fund Management Ordinary Shares") to the Fund Manager.

The issue price per Fund Management Ordinary Share is 106.56 pence (being the prevailing Net Asset Value per share).

The Fund Management Ordinary Shares are subject to a minimum lock-in period of 12 months from 1 April 2022,  being when they became due and deliverable.

The total number of Ordinary Shares in issue following the sale of treasury shares referred to above will be 194,149,261 ordinary shares, of which 8,985,980 ordinary shares are held in treasury. The Company's total voting rights, excluding treasury shares, is 185,163,281 ordinary shares. This figure may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in the Company under the FCA's Disclosure Guidance and Transparency Rules.

FOR FURTHER INFORMATION, PLEASE CONTACT:

ReSI Capital Management Limited / Gresham House Housing Ben Fry Alex Pilato	[phone]
Jefferies International Limited Stuart Klein Tom Yeadon	[phone]
KL Communications Charles Gorman Will Sanderson Millie Steyn	[e-mail] [phone]

NOTES:  

Residential Secure Income plc (LSE: RESI) is a real estate investment trust (REIT) focused on delivering secure, inflation-linked returns with a focus on two resident sub-sectors in UK residential - independent retirement rentals and shared ownership - underpinned by an ageing demographic and untapped and strong demand for affordable home ownership.

ReSI targets a secure, long-dated, inflation-linked dividend of 5.16 pence per share p.a. 2 (paid quarterly) and a total return in excess of 8.0% per annum. Including recently committed acquisitions, ReSI's portfolio comprises 3,050 properties, with an (unaudited) IFRS fair value as at 31 December 2021 of £351m [i] .

ReSI's purpose is to deliver affordable, high quality, safe homes with great customer service and long-term stability of tenure for residents. We achieve this through meeting demand from housing developers (housing associations, local authorities and private developers for long-term investment partners to accelerate the development of socially and economically beneficial affordable housing.

ReSI's subsidiary, ReSI Housing Limited, is registered as a for-profit Registered Provider of social housing, and so provides a unique proposition to its housing developer partners, being a long-term private sector landlord within the social housing regulatory environment. As a Registered Provider, ReSI Housing can acquire affordable housing subject to s106 planning restrictions and housing funded by government grant.

Acquisitions by ReSI are limited to homes with sufficient cashflows, counterparty credit quality and property security to be capable of supporting long ‑ term investment grade equivalent debt. ReSI does not manage or operate stock and uses experienced and credit-worthy managers.

ReSI is managed by ReSI Capital Management Limited, whose immediate parent company, TradeRisks Limited, has been active within the social housing sector for over 20 years as a funding arranger and advisor and, over the last four years, as an investor through ReSI.

ReSI Capital Management and its parent, TradeRisks, were acquired by Gresham House in March 2020, further increasing the investment expertise available to ReSI. The housing investment team at Gresham House has 19 members and growing, with an average of 20 years' relevant experience, covering fund management, housing investment, social housing management and financial and risk expertise.

Gresham House plc is a London Stock Exchange quoted specialist alternative asset manager committed to operating responsibly and sustainably, taking the long view in delivering sustainable investment solutions.

Further information on ReSI is available at  www.resi-reit.com , and further information on Gresham House is available at   www.greshamhouse.com

 

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[i] excluding the finance lease gross up and including £7m of committed acquisitions

2 The dividend target and total return target are targets only and are not profit forecasts. There can be no assurance that either target will be met and they should not be taken as an indication of the Company's future results.

 

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