Business
Settlement in Australian class action
Settlement in Australian class action.
About this update from Litigation Capital Management Ltd
[{"type":"text","content":"\n\n4 September 2023\nLitigation Capital Management Limited\n(\"LCM\" or the \"Company\")\nSettlement in Australian class action\nLitigation Capital Management Limited (AIM:LIT), a leading international alternative asset manager of disputes financing solutions, announces the outcome of the settlement reached in an Australian class action funded by it.\nAs previously announced ( 15 May 2023), the class action was brought in the Federal Court of Australia against the Commonwealth of Australia on behalf of persons who are alleged to have suffered loss and damage as the result of the contamination of their land at seven sites around Australia in proximity to Department of Defence military bases. \nThe Commonwealth has agreed to pay the sum of AUD$132.7M in order to resolve the class action. A confidential deed of settlement was executed and has now been approved by the court, allowing the disbursement of funds, subject to the unlikely event of appeal.\nThe claim forms part of LCM's managed Global Alternative Returns Fund (\"Fund I\") and was funded directly from LCM's balance sheet (25%) and Fund I Investors (75%). Details of the returns are highlighted below:\n \n\n\n\n\n*AUD$m\n\n\nInvestment performance\n\n\nLCM performance metrics\n\n\n\n\nInvested capital\n\n\n13.5\n\n\n3.4\n\n\n\n\nInvestment return\n\n\n28.6\n\n\n7.2\n\n\n\n\nTotal revenue\n\n\n42.1\n\n\n10.6\n\n\n\n\nROIC on investment\n\n\n2.12\n\n\n2.12\n\n\n\n\nPerformance fee*\n\n\n-\n\n\n6.4\n\n\n\n\nGross profit\n\n\n28.6\n\n\n13.6\n\n\n\n\nROIC after performance fees\n\n\n2.12\n\n\n4.03\n\n\n\n\n*The investment returns are subject to change based on the prevailing FX rate and timing of distribution\nPatrick Moloney, CEO of LCM, said:\n\"This settlement is a positive start to the fiscal year, demonstrating the momentum LCM's portfolio has gained over the last six months. We continue to scale our portfolio of investments through increased commitments which are a key indicator of future growth and long term shareholder value.\" \n \n \nEnquiries\n \n\n\n\n\nLitigation Capital Management\n\n\nc/o Tavistock PR\n\n\n\n\nPatrick Moloney, Chief Executive Officer\n\n\n \n\n\n\n\n\n\n\n \n\n\n\n\n \n\n\n \n\n\n\n\nCanaccord (Nomad and Joint Broker) \n\n\nTel: 020 7523 8000\n\n\n\n\nBobbie Hilliam\n\n\n\n\n\n\n\n\n\n\n\n\n\n...