GLI Finance plans SME Loan Fund sale

GLI Finance said it was looking at selling its stake in the SME Loan Fund for slight discount in order to repay a £14.86m syndicated loan that matures on 15 March.

GLI said a potential sale of the SMEF discounted 3.2% to 90p per share would value its total holding at £22.7m.

If a sale is not completed, directors of SMEF have announced that they intend to bring forward proposals for the orderly realisation of SMEF's investments and return of surplus capital to shareholders via periodic mandatory redemptions.

Its 50%-owned Amberton Asset Management, which is the current investment manager of SMEF, is holding talks to transfer the provision of investment management services to SQN Capital Management alongside the potential appointment by SQN of Amberton as its sub-investment adviser in relation to SMEF's existing portfolio of loans.