1 September 2020
FORBES
VENTURES
(“Forbes” or the “Company”)
Update on
Litigation Funding Securitisation
Forbes Ventures is pleased to announce that, further to the
announcement of 2 March 2020, it has
established a wholly owned UK subsidiary, Forbes Ventures Cell 1
Limited (the “UK Cell”).
The UK Cell has been established to acquire UK-issued litigation
funding loans, through the assignment of the related receivables -
i.e. the litigation funding loans themselves and the interest
thereon (“the Securitised Assets”) - to Forbes Ventures CC 1 (the
“Maltese Cell”). The Maltese Cell is a Securitisation Cell Company
in Malta, which is held in a
bankruptcy remote structure and as such is not owned by the
Company.
To finance this securitisation, the Maltese Cell will shortly be
issuing a prospectus relating to the proposed offer (the “Offer”)
of 2-year bonds (the “Bonds”) and their admission to trading on the
Malta Stock Exchange. The Offer has an aggregate value of
EUR 35 million. A further
announcement will be made at the time of closing of the Offer,
which is expected later in September
2020. The net proceeds of the Offer will be paid to the UK
Cell as consideration for the assignment of the Securitised
Assets to the Maltese Cell, and will provide the funds for
the UK Cell to acquire litigation funds in the UK.
Forbes Ventures’ wholly owned subsidiary, Forbes Ventures
Investment Management Limited (“FVIM”), acts as originator and
collateral agent for the UK Cell and is responsible for the
selection and oversight of the Securitised Assets. FVIM will
receive a cash fee for this transaction, upon closing, equivalent
to 2% of the funds raised in the Offer.
It is the Company’s intention that the infrastructure which it
has established for this securitisation will also be used to
facilitate the securitisation of both further litigation funding
and other assets across a range of industries. The Company
confirms it is in discussion with multiple prospective
counterparties from whom it may purchase assets for this purpose.
Further announcements will be made upon the Company entering into
any such arrangements.
The Directors of Forbes accept responsibility for the contents
of this announcement.
-ENDS-
For further information, please contact:
Forbes
Ventures
Peter Moss, Chairman
Rob Cooper, Chief Executive Officer |
01625 568 767
020 3687 0498 |
AQSE Corporate
Adviser
Peterhouse Capital Limited
Mark Anwyl
Allie Feuerlein |
020 7469 0930 |
Market Abuse Regulation (MAR)
Disclosure
The information contained within this announcement is deemed by
the Company to constitute inside information as stipulated under
the Market Abuse Regulation (EU) No. 596/2014. Upon the publication
of this announcement via a Regulatory Information Service, this
inside information is now considered to be in the public
domain.