Business
Business Performance Update and US GAAP Conversion
Business Performance Update and US GAAP Conversion.
About this update from Burford Capital Limited
[{"type":"text","content":"\n \n \n \n RNS Number : 3888J\n Burford Capital Limited\n 23 August 2021\n \n \n \n \n \n \n \n 23 August 2021\n \n \n \n \n \n \n \n \n BURFORD CAPITAL UPDATE ON BUSINESS PERFORMANCE AND POTENTIAL US GAAP CONVERSION\n \n \n \n \n \n Burford Capital Limited, the leading global finance and asset management firm focused on law, today \n released the following statement on its performance for the six months ended June 30, 2021 and on matters relating to its potential conversion to US GAAP. Burford is scheduled to release its interim results on September 9, 2021. All figures in this disclosure are unaudited and presented on a Burford-only basis, unless otherwise stated. Certain definitions are provided below; additional definitions, reconciliations and information are set out in Burford's 2020 annual report, available at \n \n \n www.burfordcapital.com\n \n \n .\n \n \n \n \n \n \n \n \n • \n \n \n \n \n Record-breaking levels of new commitments and deployments\n \n \n \n \n \n \n • \n \n \n \n \n Portfolio returns rose and loss rates fell but case progress was relatively quiet with COVID delays noted\n \n \n \n \n \n \n • \n \n \n \n \n Considering US GAAP conversion at year-end\n \n \n \n \n \n \n • \n \n \n \n \n Non-cash accruals in the first half result in net accounting loss for the period; positive result on a cash basis\n \n \n \n \n \n \n • \n \n \n \n \n Liquidity position very strong with more than $430 million of Burford-only liquidity on hand\n \n \n \n \n \n \n \n \n New business\n \n \n \n \n \n \n \n \n • \n \n \n \n \n $500+ million in new commitments; nearly $400 million in deployments\n \n \n \n \n \n \n \n \n We saw robust levels of new business in the first half. We made new capital provision-direct commitments of over $500 million Group-wide, of which $284 million was Burford-only, more than four times higher than the first half of last year and above our prior record levels in the second half of 2019.\n \n \n \n \n \n We deployed $399 million Group-wide, of which $215 million was Burford-only, to a combination of new and existing capital provision-direct assets, more than three times our 1H 2020 level and well in excess of our prior record deployments in 1H 2018.\n \n \n \n \n \n Our trend towards larger and more complex new matters continued. ...