Monthly NAV and Dividend

RNS Number : 4393V

SQN Asset Finance Income Fund Ltd

23 July 2018

 

23 July 2018

SQN Asset Finance Income Fund Limited

Monthly Net Asset Value and Dividend

Net Asset Value

SQN Asset Finance Income Fund Limited (the "Company"), the leading diversified equipment leasing fund listed in the UK, is pleased to provide its monthly net asset value ("NAV") update.

As at 30 June 2018, the unaudited estimated NAV per ordinary share was 97.72 pence, which includes an adjustment to the valuation of the Suniva investment.  The Company has continued discussions with multiple counterparties seeking to lease or purchase the Suniva equipment. The recent developments in the United States have provided additional support for domestic manufacturers which should strengthen Suniva's market position. Furthermore, efforts have intensified in pursuing the guarantee with subpoenas being issued to officers of the guarantor. The Board as advised by the Manager continues to believe that a full recovery of the Suniva investment will be achieved. This is expected to be through the lease or sale of the Suniva equipment and, to the extent required, by pursuing the guarantee. The Company has examined the minimum expected recovery under the lease or sale of the Suniva equipment and, considering the potential time required to realise the guarantee, the Company has reflected an impairment of £2.4m to the Suniva investment to account for the risk adjusted time value of money on such proportion of the investment should a full recovery not be achieved through a sale or re-lease. Without this specific impact, the NAV per ordinary Share would have been 98.41 pence.

As at 30 June 2018, the unaudited estimated NAV per C share was 97.62 pence. 

Dividends

The Company is pleased to announce a dividend of 0.6042 pence per ordinary share for the month ended 30 June 2018, reflecting an annualised dividend of 7.25 pence per share. The dividend will be payable on 16 August 2018 to holders of ordinary shares on the register on 3 August 2018. The ex-dividend date is 2 August 2018.

The Company is also pleased to announce a dividend on the C Share of 0.3333 pence per C share for the month ended 30 June 2018. The dividend will be payable on 16 August 2018 to holders of C shares on the register on 3 August 2018.  The ex-dividend date is 2 August 2018.

The Company expects to increase the dividend, to an annualised rate of 7.25%, on the C Shares in August 2018

Investment Update

A separate RNS announcement is being issued simultaneously.

The Company's factsheet for June 2018 will shortly be available on the Company's website: www.sqncapital.com/managed-funds/sqn-asset-finance-income-fund.

For further information please contact:

SQN Capital Management, LLC Jeremiah Silkowski Neil Roberts	01932 575 888
Winterflood Securities Limited	020 3100 0000
Neil Langford Chris Mills
Buchanan Charles Ryland Henry Wilson	020 7466 5000

Notes to Editor

The Company invests in equipment lease and asset finance arrangements across a diverse portfolio of assets and industries predominantly in the UK, Northern Europe and US. The Company focuses on business-essential, revenue-producing (or cost saving) equipment and other assets with high in-place value and long economic life relative to the investment term.

The Company's Investment Managers are SQN Capital Management, LLC, a Registered Investment Advisor with the United States Securities and Exchange Commission and its subsidiary, SQN Capital Management (UK) Limited. The principals responsible for managing the portfolio are Jeremiah Silkowski and Neil Roberts

 

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