Net Asset Value(s)

("RMDL" or the "Company")

LEI: 213800RBRIYICC2QC958

Net Asset Value

RMDL announces that its unaudited net asset value per ordinary share as at 30 June 2019, on a cum income basis, was 98.00 pence (31 May 2019: 99.59 pence).

RM ZDP PLC announces that the unaudited accrued capital entitlement per ZDP share as at 30 June 2019 was 104.38 pence (31 May 2019: 104.09 pence).

NAV % Total Return for the month was 0.41% and brings a total for NAV % Total Return for the first half 2019 to 4.82%. The Ordinary Share NAV as at 30^th June 2019 was 98.00 pence, which is 1.59 pence lower than the end of May. The monthly movement in NAV was mainly driven by the ex-dividend effect of the 2.00 pence (total) declared in March and paid in June, the positive net interest income (net of expenses) of 0.63 pence and a decrease in portfolio valuations of 0.22 pence.

During the quarter there were three new investments, 34 drawdowns on existing facilities and four Loans matured. Since inception over 65 investments have been made by the Investment Manager on behalf of the Company, demonstrating the Investment Manager's ability to both deploy/recycle capital and earn attractive risk-adjusted returns. The portfolio now consists of 35 investments split across 13 sectors. The average yield on the portfolio decreased by 1 bps to 8.61% [in the quarter]. Invested capital currently stands at £124m, with the RCF facility partial drawn. The weighted average life of the Loans within the portfolio is 3.46 years and duration of 1.33 years.

Overall, private debt represents c.95% of the portfolio's holdings with the full breakdown as follows: 57% bilateral loans, 38% within club or syndicated private loans and 5% in liquid corporate debt.

New Investments in the Quarter

Student Accommodation

·      £6m loan to project finance a student accommodation development site in Coventry. This loan is secured by a first charge over the property. The transaction has been structured as a typical, with an all asset debenture and enhanced lender control via project bank accounts and fortnightly monitoring by a quantity surveyor (Lender's monitor) acting on behalf of the Lender. Funds are not released until the relevant costs have been incurred and signed off by the Lender's monitor, as is typical of transactions of this nature structured by the Investment Manager, meaning that capital is advanced only as and when value has been created.

Hotel Financing

·      £900,000 (three year tenor, 10%) commitment to a hospitality and leisure real estate asset primarily leased to Travelodge. Benefits from security over the real estate asset and a 17 year unexpired contracted cashflow.

Food Manufacturing

·      £1.5m increase in existing loan facility (six year, 9.5%) participation to Valeo Foods (total: £4.5m), a branded food manufacturer.

·      £3m new investment in Premier Foods' existing bond (three year tenor, 5.8%).  

Pipeline

The pipeline remains healthy with no signs of slowing. The Investment Manager is conducting due diligence and documentation on several transactions which are expected to close during Q3. The Investment Manager expects that it will fully utilise the RCF facility in the near term .

Outlook

The Investment Manager remains confident in its ability to originate and close high quality investments. It is focused on deploying and recycling capital into non-cyclical sectors, with real asset security and limited correlation to wider equity markets. The Investment Manager recognises the underlying risks to global equities as a result of the ongoing political and economic uncertainty, particularly as we head into Q3. The monitoring of the existing loans remains a priority, with all loans marked-to-market on a monthly basis reflecting perceived or actual risks to underlying Loan performance. The Investment Manager will continue to maintain this strict discipline relating to the due diligence, structuring, documentation and overall credit quality of existing and prospective investments.

The Company also announces that the Monthly Report for the period to 30 June 2019 is now available to be viewed on the Company website:

https://rmdl.co.uk/investor-centre/monthly-factsheets/

END

 For further information, please contact:

RM Capital Markets Limited - Investment Manager

James Robson

Pietro Nicholls

Tel: 0131 603 7060

International Fund Management - AIFM

Chris Hickling

Shaun Robert

Tel: 01481 737600

Tulchan Group - Financial PR

James Macey White

Elizabeth Snow

Tel: 0207 353 4200

PraxisIFM Fund Services (UK) Limited - Administrator and Company Secretary

Anthony Lee

Ciara McKillop

Tel: 020 7653 9690

Nplus1 Singer Advisory LLP - Financial Adviser and Broker

James Maxwell

Lauren Kettle

Tel: 020 7496 3000

About RM Secured Direct Lending

RM Secured Direct Lending Plc ("RMDL" or the "Company") is a closed-ended investment trust established to invest in a portfolio of secured debt instruments.

The Company aims to generate attractive and regular dividends through loans sourced or originated by the Investment Manager with a degree of inflation protection through index-linked returns where appropriate. Loans in which the Company invests are predominantly secured against assets such as real estate or plant and machinery and/or income streams such as account receivables.

For more information, please see

https://rmdl.co.uk/investor-centre/monthly-factsheets/