GCP Asset Backed Income Fund Ltd. · LSE:GABI
GCP Asset Backed Income Fund — Corporate Update (July 2024)
12 slides from GCP Asset Backed Income Fund's corporate update, Jul 3, 2024
Slide 1: GCP Asset Backed Income Fund Limited Realisation Plan Investor Webinar
Slide 2: Presenters
PRESENTERS Philip Kent CEO Phil joined Gravis in 2015 and serves as the CEO. Phil is actively involved in the management of Gravis’ direct infrastructure and real asset investments. Phil has 20-years of experience in the energy and environmental sectors having joined Gravis from Foresight Group. Pri
Slide 3: Introduction
INTRODUCTION The managed realisation plan is the result of the Company’s strategic review process + AGM and EGM votes in May elected to discontinue the Company in its current form and amend the investment objective to be a managed realisation of the portfolio. Gravis’ IMA has been amended accordingl
Slide 4: Overview
OVERVIEW The base case realisation plan sees forecast cash flows to shareholders of £405m from 1 April 2024 until December 2027, equivalent to an 86 pps present value @ 12%. Shareholder cash Cumulative distributions t co8 (pps) =ZzlC SDlOSEH—( iGésiaaeCsi‘“‘i‘Cé ist (£ 000) 149,814 Forecast of £405m
Slide 5: Principal Balance Movements
PRINCIPAL BALANCE MOVEMENTS The portfolio has a starting portfolio book value of c. £341m at 31 March 2024, of which c. 63% is expected to repay from 1 April 2024 to December 2024. * Chart shows the make-up of the expected loan principal Payment received movements over the realisation period. + Bulk
Slide 6: Realisation by Strategy
REALISATION BY STRATEGY Four approaches to realisation across the portfolio 400 Payment received Principalbalance (£m) 300 Accelerate + Realisations resulting from the active management of loans Accelerate to bring forward repayment through disposals, refinances (borrower or lender led) or through o
Slide 7: ASSET BACKED
• • • • • • • • • • • • • • • • Recovery valuation (pps, new shares) * 86.0 83.5 84.6 82.3 77.1 IRR on share price (%) 39% 29% 37% 27% 20% Total distributions (£m) ** 405 409 400 404 391 7 ASSET BACKED
Slide 8: Scenario cash flow analysis
Scenario Base case Larger rump Acceleration Higher rump Downside Extreme discount discount downside Opening cash at 1 April 2024 [£ 000] 60,773 60,773 60,773 60,773 60,773 60,773 Principal receipts [£ 000] 327,458 274,406 321,113 274,406 257,992 239,239 Interest receipts [£ 000] 37,885 47,029 37,885
Slide 9: Loan portfolio and repayment assumptions
Name Discount Valuation Book value Contractual Repayments - base case Write-downs rate (per (31/3) maturity (included in Mazars repayment 31/3) assumptions) 2024 2025 2026 2027 Rump (before discount) Care Homes Co 3 8.5% 14,509 14,940 2038 349 14,591 0 0 0 0 Care Homes Co 4 9.3% 6,080 5,940 2045 5,9
Slide 10: Conclusions
CONCLUSIONS The base case realisation plan is forecast to return cash to shareholders with a present value of c. 86 pps. * The Company has made significant progress with returning capital to shareholders, with a June compulsory redemption of 37.5% of the shares. * The base case plan forecasts materi
Slide 11: Important Notice
IMPORTANT NOTICE This presentation (the "Presentation") has been prepared by Gravis Capital Management Ltd (the "Investment Manager“ or “Gravis”) and is for information purposes only. This Presentation is not intended for distribution to, or use by, any person or entity in any jurisdiction or countr
Slide 12: Contact Information
GCP ASSET BACKED Gravis Capital Management Limited 24 Savile Row London W1S 2ES www.graviscapital.com CONTACT INFORMATION Philip Kent Philip.Kent@graviscapital.com 020 3405 8512 Cameron Gardner cameron.gardner@graviscapital.com 020 3405 8555 Anthony Curl anthony.curl@graviscapital.com 020 3405 8513
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