Title: RECI Fact Sheet - April 2025 URL Source: https://is.gd/xrk3VH Published Time: Mon, 26 May 2025 07:43:42 GMT Markdown Content: 30 April 2025 # Fact Sheet ## MONTHLY UPDATE As at 30 April 2025 , the Company was invested in a diversified portfolio of 22 investments with a valuation of £297 .9m. The Company’s available cash was £25 .1m and net effective leverage was 18 %. During the month, RECI invested £3.2m (gross) in senior secured floating notes issued by a UK housebuilder. Additionally, the company bought back 200,000 shares at 120.0p per share. A full attribution of changes in the NAV per share is presented in the table : ## OVERVIEW Real Estate Credit Investments (RECI) is a closed -ended investment company which originates and invests in real estate debt secured by commercial or residential properties in the United Kingdom and Western Europe . The Investment Objective of the Company is to provide Shareholders with attractive and stable returns, primarily in the form of quarterly dividends, by exposure to a diversified portfolio of real estate credit investments, predominantly comprising real estate loans and bonds . ## PERFORMANCE ## COMPANY INFORMATION Bloomberg Ticker RECI LN Equity ISIN GB00B0HW5366 Legal Structure Closed End Fund Domicile Guernsey Traded CCY GBP Launch Date December 2005 Financial Year End 31 March 2026 Next AGM September 2025 Dividend Frequency Quarterly Investment Manager Cheyne Capital Portfolio Manager Ravi Stickney Management Fee 1.25% of NAV Performance Fee 20% above 7% hurdle ## ORDINARY SHARE CLASS Shares in Issue (with voting rights) 221.7m Share Price 122.5p Market Capitalisation £271.6m NAV Per Share 1 144.8p Net Assets 1 £321.0m Share Price Discount to NAV (15.4)% ## NAV Investments £297.9m Available Cash £25.1m Cash Held as Collateral £2.2m Total Cash £27.3m GAV £323.3m Accrued Expenses (£2.3)m NAV £321.0m ## DIVIDEND INFORMATION Dividends paid/declared 2 12.0p Dividend Yield on Share Price 9.8% Total Return 3 MTD YTD 1 yr 3 yr 5 yr NAV 1.0 % 8.8 % 7.7 % 22.5 % 46.1 % > Past performance is not a guide to the future. The potential for profit is accompanied by the possibility of loss. ## Investment ## Portfolio 4 # £297.9m ## WA Yield 5 # 11.4% ## Number of ## Positions # 22 ## PORTFOLIO BREAKDOWN ## WA LTV 12 # 66.0% No of Positions Investment Portfolio Value (Gross) Investment Portfolio Value (Net) % of NAV Current Levered Yield Bilateral Loans & Bonds 17 £392.5m £294.6m 91.8% 11.3% Market Bonds 5 £10.2m £3.3m 1.0% 20.8% Cash 6 £23.1m 7.2% GAV/W.A. 22 £402.6m £321.0m 100.0% 11.4% March NAV 143.4p Interest income 0.9p Asset valuations 0.6p FX 0.0p Expenses -0.2p Buybacks 0.1p April NAV 144.8p > LTV information is based on the current LTV (calculated in accordance with note 12) rather than the previously presented LTV at the > point of investment. 90 110 130 150 170 05/2020 11/2020 06/2021 12/2021 07/2022 01/2023 08/2023 03/2024 09/2024 04/2025 # Share Price vs NAV per Share ## NAV per Share ## Share Price Number of assets 17 Total committed capital 7 £468.7m Total capital deployed 7 £424.0m Leverage deployed 8 £82.3m Drawn fair value (gross) £392.5m Drawn fair value (net) £294.6m Weighted average unlevered yield 9 10.4% Weighted average portfolio yield 10 11.3% Weighted Average Current LTGDV 11 67.2% Weighted average life (yrs) 0.9 Description Dirty FV (GBP) % of Gross Investments RECI Commitment LTV 12 Investment Strategy Sector Country Asset Type 7 1 Senior Loan refinance of four 4 -star upscale hotels in central London £66.0 m 16% £65.6 m 67% Senior Loan Hotel United Kingdom Core+ 2 Student accommodation development in London £60.2 m 15% £55.9 m 69% Senior Profit Participating Loan Student Accommodation United Kingdom Development 3 Light industrial, office and mid -market residential asset portfolio in the UK £57.6 m 14% £82.1 m 59% Senior Loan Mixed -Use United Kingdom Value Add 4 Residential, affordable housing and mixed -use scheme over five blocks within Greater London £31.4 m 8% £32.7 m 58% Senior Loan Residential United Kingdom Development 5 Co -living development in central London £29.6 m 7% £26.7 m 77% Senior Profit Participating Loan Co -Living United Kingdom Development 6 Refurbishment and extension of a freehold office building in Saint Ouen, Paris £26.1 m 6% £30.4 m 100% Senior Loan Office France Value Add 7 Senior refinance of the existing portfolio of 6 stabilised and fully operational properties (hotels and spas) across England £18.9 m 5% £19.6 m 68% Senior Loan Hotel United Kingdom Core+ 8 Income producing residential developer in France £17.4 m 4% £20.6 m 33% Senior Loan Housebuilder France Development 9 Senior loan made to refinance a later living development in Kensington, South West London £17.2 m 4% £19.7 m 65% Senior Loan Assisted Living United Kingdom Core+ 10 Senior development loan for the construction of luxury villas in Ibiza, Spain £16.9 m 4% £22.4 m 32% Senior Loan Residential Spain Development ## TOP 10 POSITIONS (by commitment) ## BILATERAL LOAN AND BOND PORTFOLIO SUMMMARY Number of assets 5 Gross fair value £10.2m Net fair value £3.3m Leverage deployed 8 £6.8m Weighted average unlevered yield 9 9.9% Weighted average levered yield 10 20.8% Weighted average current LTV 11 47.5% Weighted average life (yrs) 2.3 ## MARKET BOND PORTFOLIO SUMMARY ## FINANCING SUMMARY Balance Sheet Leverage 13 14 Contingent Liabilities 14 Cash 6 Net Effective Leverage Asset Level Structured Funding £ Amount £72.9m £10.2m £25.4m £57.8m £31.8m % of NAV 13 22.7% 3.2% 7.9% 18.0% 9.9% W/A cost of finance 7.0% 8.1% ## PORTFOLIO SUMMMARY (by commitment) > Fixed > 70% > 0-1 yr > 71% > United Kingdom > 66% > Hotel/Leisure > 27% > Core > 4% > 0% -50% > 10% > Floating > 30% > 1-2 yrs > 9% > France > 24% > Living Assets > 41% > Core+ > 24% > 50% -65% > 30% > 2-3 yrs > 18% > Spain > 5% > Mixed -Use > 20% > Value Add > 23% > 65% -80% > 47% > 3-4 yrs > 0% > Other > 5% > Office > 10% > Development > 43% > >80% > 13% > 4+ yrs > 2% > Other > 3% > Other > 6% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Interest Type WA Duration Geography Sector Asset Type Current LTGDV Footnotes 1. Unaudited estimated figures produced by Cheyne Capital. Final audited values may be materially different from the numbers sh own . The NAV of the Company’s investments are a function of the following: Mark to market on its listed, public market bond portfo lio ; and the Manager’s valuation of its bilateral loan book on a fair value basis, rather than amortised cost(senior and mezzanine loa ns) , which recognise potential future impairments in accordance with IFRS 9. IFRS 9 uses an expected credit loss impairment model. Since 1 March 2020, the Manager has reflected its assessment of the long term negative impact of COVID 19 on real estate markets and to the l ong term potential recovery of its loan assets. These fair value adjustments applied to the bilateral loan book since 1 March 2020 a re not realised losses. 2. Based on dividends paid/declared in the twelve month period to this fact sheet date. Dividend yield based on last reported di vid end and share price at fact sheet date. 3. Total NAV return assumes dividends are reinvested. YTD = Calendar year, 1yr = last 12 months, 3 yr = last 36 months, 5yr = la st 60 months. Total NAV Return calculations are based on a rolling model. 4. Investment Portfolio is based on the drawn Fair Value of bonds and loans, net of all leverage. 5. The weighted average effective yield is based on Cheyne Capital’s pricing assumptions and actual returns may differ materiall y f rom those expressed or implied herein. This is levered yield weighted against the net fair value of the investments. 6. Sum of available cash and cash held as collateral less accrued dividends and expenses. 7. Asset type definitions: Core – assets that benefit from having long term income Core + – assets that benefit from having strong current income, but do require some measure of asset management to optimise its income profile and term Value add / transitional – assets that require asset management (typically refurbishment) and re -letting to secure a core income profile 8. Gross of all leverage 9. Balance sheet leverage which includes partial recourse on asset level financing. 10. The weighted average effective yield is based on Cheyne Capital’s pricing assumptions and actual returns may differ materiall y f rom those expressed or implied herein. Bond yields are presented as yield to stated maturity (and considering the current marked pri ce) on the underlying loans in the CMBS. 11. Reflects average levered current yields weighted by the net fair value of each investment. Some loans also enjoy equity upside participation, which is only recognised following evidenced delivery, which can result in significant incremental gains in ex ces s of the accounting yield. The yield is based on Cheyne Capital’s pricing assumptions and actual returns may differ materially from those expressed or implied herein. The portfolio includes listed notes, of which some are leveraged. 12. The LTV has been calculated by Cheyne Capital by reference to the total commitment made to an investment (whether drawn or undrawn), divided by the future value ascribed to the collateral by Cheyne Capital. In determining these values, Cheyne Capit al has taken into consideration red book valuations that are instructed at least annually, as well as its own outlook on the valuati on of the underlying collateral. 13. Bond portfolio is only partially leveraged. The Company is not utilising its maximum capacity for leverage. See Financing S umm ary for further details. 14. RECI has a limit on balance sheet leverage of 40% of NAV, as stated in its borrowing policy. All figures are as at 30 April 2025 unless specified otherwise. Further information on the Company including the latest share price, prospectus and financial statements may be found at www . https ://realestatecreditinvestments .com and is available from Cheyne Capital Management at REIR@cheynecapital .com or on +44 (0) 7968 7450 Disclaimer : This document is issued by Cheyne Capital Management (UK) LLP ("Cheyne Capital") . Cheyne Capital is authorised and regulated by the Financial Conduct Authority of the United Kingdom (the "FCA") . This document is being issued inside and outside the United Kingdom by Cheyne Capital only to and/or is directed only at persons who are professional clients or eligible counterparties for the purposes of the FCA's Conduct of Business Sourcebook . This document must not be relied or acted upon by any other persons . Cheyne Capital neither provides investment advice to, nor receives and transmits orders from, investors in Real Estate Credit Investments Limited ("RECI") nor does it carry on any other activities with or for such investors that constitute "MiFID or equivalent third country business" for the purposes of the FCA Rules . The information contained herein is intended only for the person or entity to which it is addressed and may contain confidential and/or privileged material . Any dissemination or other unauthorised use of this information by any person or entity is strictly prohibited . The distribution of this document may be further restricted by law . No action has been or will be taken by either of Cheyne Capital or RECI, to permit the possession or distribution of this document in any jurisdiction (other than as expressly described herein) where action for that purpose may be required . Accordingly, this document may not be given or used in any jurisdiction except under circumstances that will result in compliance with any applicable laws and regulations . Persons to whom this document is communicated should inform themselves about and observe any such restrictions . This document is not intended to constitute, and should not be construed as, investment advice . Potential investors in RECI should seek their own independent financial advice . This document has been provided to you for informational purposes only and may not be relied upon by you in evaluating the merits of investing in any securities or interests referred to herein . This document is not intended as and is not to be taken as an offer or solicitation with respect to the purchase or sale of any security or interest, nor does it constitute an offer or solicitation in any jurisdiction, including those in which such an offer or solicitation is not authorised or to any person to whom it is unlawful to make such a solicitation or offer . Any person subscribing for an investment must be able to bear the risks involved and must meet the suitability requirements relating to such investments . Some or all alternative investment programs may not be suitable for certain investors . Although the information in this document is believed to be materially correct, no representation or warranty is given as to the accuracy of any of the information provided . Certain information included in this document is based on information obtained from sources considered to be reliable . We have not verified any such information and assume no responsibility for the accuracy or completeness thereof . Any projections or analysis provided to assist the recipient of this document in evaluating the matters described herein may be based on subjective assessments and assumptions and may use one among alternative methodologies that produce different results . Accordingly, any projections or analysis are subject to change without prior notification and should not be viewed as factual and should not be relied upon as an accurate prediction of future results . Furthermore, to the extent permitted by law, neither RECI nor Cheyne Capital nor any of their respective directors, agents, service providers or professional advisers assumes any liability or responsibility nor owes any duty of care for any consequences of any person acting or refraining to act in reliance on the information contained in this document or for any decision based on it . Past performance is not a reliable indicator of future results . Among the risks we wish to call to the particular attention of recipients are the following : (1) RECI's investment programme is speculative in nature and entails substantial risks ; (2) the investments of RECI may be subject to sudden and large falls in price or value and there could be a large loss upon realisation of a holder’s investment, which could equal the total amount invested ; (3) as there is no recognised market for many of the investments of RECI, it may be difficult or impossible for RECI to obtain complete and/or reliable information about the value of such investments or the extent of the risks to which such investments are exposed ; (4) the use of a single investment manager could mean a lack of diversification and, consequently, higher risk, and may depend upon the services of key personnel, and if certain or all of them become unavailable, RECI may suffer losses ; (5) Cheyne Capital will receive performance -based remuneration ; (6) the market price of shares in RECI does not necessarily reflect its underlying net asset value ; and (7) the price of shares (and the income from them) can go down as well as up and may be affected by changes in rates of exchange .