Burford Capital Burford Raises $180m in Pioneering USD Bond Issue (3850D)
January 30 2018 - 11:18AM
UK Regulatory
TIDMBUR TIDMBUR1 TIDMBUR3
RNS Number : 3850D
Burford Capital
30 January 2018
This announcement contains inside information.
30 January 2018
BURFORD CAPITAL RAISES $180 MILLION IN PIONEERING US DOLLAR BOND
ISSUE
TO FURTHER SUPPORT CLIENT DEMAND AND BUSINESS GROWTH
Burford Capital Limited ("Burford"), a leading global finance
and investment management firm focused on law, announces that it
has today raised US$180 million through an oversubscribed issue of
US dollar denominated bonds on the Main Market of the London Stock
Exchange ("LSE") by Burford Capital Finance LLC, its financing
subsidiary. The bonds will be traded on the LSE's Order Book for
Retail Bonds ("ORB"), pay interest at an annual rate of 6.125% and
mature on 12 August 2025.
This new capital will permit Burford to continue growing its
legal finance business, to which it committed $1.3 billion in 2017.
Burford's business today is larger and comprises a more flexible
range of legal finance offerings than ever before, underpinned by a
long-term, deep capital base on its balance sheet and in its
investment funds. The new bond was issued at a tighter spread to
the relevant government debt than any of Burford's previous
issues.
Christopher Bogart, Burford's Chief Executive Officer,
commented:
"Demand for Burford's first US dollar denominated bond was
strong, requiring us to close the order book sooner than we had
anticipated and cut back allocations. The level of subscription
interest in our bond offerings underscores the attractions of the
investment opportunities presented to Burford thanks to its
leadership of the fast-growing commercial litigation finance
market.
"Issued with a 6.125% coupon, at 349 basis points over a US
Treasury bond of similar maturity, the offering priced
significantly tighter than the coupon spread of 394 basis points
over the underlying Gilt on our previous 2026 sterling bond when
issued in May 2017.
"Adding US dollar debt - the first-ever USD issue on ORB - to
our hitherto sterling-dominated debt will serve to diversify our
currency risk, better matching the multi-denominational income
profile of the Burford Group. We thank all our bondholders and
shareholders for their continuing support of our global growth, and
we look forward to capturing the significant investment potential
before us."
The bonds have not been and will not be registered under the US
Securities Act of 1933, as amended, and may not be offered and sold
in the United States absent registration or an applicable exemption
from registration.
The person responsible for arranging for the release of this
announcement on behalf of the Company is Elizabeth O'Connell, Chief
Financial Officer.
For further information, please contact:
Burford Capital Limited
Elizabeth O'Connell, CFA, Chief +1 212 235
Financial Officer 6825
Peel Hunt LLP (Lead Manager on +44 (0) 20
the Bond) 7418 8900
Adrian Bell
Mark Glowrey
Henrietta Podd
Macquarie Capital (Europe) Limited +44 (0)20 3037
- NOMAD 2000
Jonny Allison
Nicholas Harland
Neustria Partners - Financial +44 (0)20 3021
Communications for Burford Capital 2580
Robert Bailhache [email]
Charles Gorman [email]
Nick Henderson [email]
About Burford Capital
Burford Capital is a leading global finance and investment
management firm focused on law. Its businesses include litigation
finance and risk management, asset recovery and a wide range of
legal finance and advisory activities. Burford is publicly traded
on the London Stock Exchange, and it works with law firms and
clients around the world from its principal offices in New York,
London, Chicago and Singapore.
For more information about Burford: www.burfordcapital.com
This information is provided by RNS
The company news service from the London Stock Exchange
END
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