DCG IRIS Limited Liquidation Proposals (9683J)

TIDMIRIS

RNS Number : 9683J

DCG IRIS Limited

18 June 2014

DCG IRIS LIMITED (the "Company")

Liquidation Proposals

Since the Company's launch in June 2012, it has delivered well on its objective of providing exposure to insurance-linked strategies. The annualised NAV total return to 30 April 2014 (the latest date for which the NAV per share was finalised) was 4.61%, compared to the 3 month sterling LIBOR return over the same period of 0.54%. Annualised volatility has been low at 0.45% over the same period, and returns have exhibited low correlation to equity and fixed income markets.

The Company's returns have been minimally affected by insurance events, despite Hurricane Sandy in October 2012, which was the second most expensive event in US history and resulted in insured losses of US$36.89 billion (source: Swiss Re Sigma). Hurricane Sandy resulted in a reduction to NAV of just 0.24%.

Despite these successes, the Company remains of relatively small size (net assets of GBP67.89m as of 30 April 2014) and has not attracted the investor demand that was projected at launch.

In light of the current soft premium environment in the reinsurance market and the Company's total asset size, the Directors have resolved to put a proposal to shareholders for its voluntary winding up. A circular (the "Circular") will be published and an extraordinary general meeting convened in due course. The Company has submitted a full redemption request to the CS IRIS Low Volatility Plus Fund Limited (the "Master Fund") for redemption on the next available dealing date in the Master Fund, which is 1 October 2014.

If the proposal is approved, upon receipt of the redemption proceeds from the Master Fund, the Company shall be put into voluntary liquidation and capital will be returned to shareholders.

Further information will be provided in the Circular.

 
 Ana Haurie / Robert Peel 
  Dexion Capital plc                   +44 (0)20 7832 0900 
 Carol Kilby / Chris Copperwaite 
  Dexion Capital (Guernsey) Limited    +44 (0)1481 743940

This information is provided by RNS

The company news service from the London Stock Exchange

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