NEW
YORK, June 26, 2023 /PRNewswire/ -- Burford
Capital Limited, the leading global finance and asset management
firm focused on law, today provides the following update and
comment on several corporate matters, including the scheduling of
the release date for its interim results for the three and six
months ended June 30, 2023 ("2Q23")
and its 2Q23 financial results call.
Corporate update
The demand we see for our financing continues to outpace the
rate at which we can recycle capital from concluded matters to fund
that new demand. That is particularly the case, notwithstanding the
velocity we are now seeing in the portfolio, in light of the
pandemic-related delays we have experienced during the past few
years.
Thus, we were very pleased to successfully issue another series
of US notes today as part of our laddered debt strategy to provide
us with incremental capital to meet the market demand we are seeing
for our financing. This latest series of $400 million senior notes matures in 2031. Today,
we also announced the early redemption of our 6.125% bonds due
2024, given the decreased cost of doing so with the increase in UK
gilt yields and to lock in a substantial gain on favorable exchange
rate development since these bonds' issuance in April 2016. When this redemption concludes, we
will have no debt maturing until the relatively small remaining
maturities of our UK-issued debt in 2025 and 2026; our US
maturities do not commence until 2028 and are laddered out until
2031, well later than the weighted average life of our
portfolio.
While interest rates have obviously risen over the last year –
which means that in many jurisdictions the interest we earn on
awards and judgments has also risen – we were able to outperform in
this latest issuance. Our spread against the relevant bond index
has tightened since we began our US issuances.
Our ready access to significant capital not only sets us apart
from our competitors, but affirms our views about the appropriate
capital structure for this business. By providing capital from our
balance sheet, we retain considerably more of the profits we
generate in our higher returning assets for equity shareholders
than if we used traditional "2&20" fund structures; this
remains very much the case notwithstanding the increase in interest
rates we have seen during the past year.
YPF-related assets
The trial court has set July 26-28,
2023 for the hearing to determine the remaining damages
issues in the case.
Following the hearing, the parties will submit short
post-hearing briefs by August 4,
2023, and we expect the trial court thereafter to issue a
final written decision and judgment.
Earnings release and conference call
We will report our 2Q23 financial results on Wednesday, September 13, 2023, at 7.00am EDT / 12.00pm
BST. Management will host a conference call the same day to
discuss the 2Q23 financial results at 10.00am EDT / 3.00pm
BST. Details of this call will be announced in due
course.
About Burford Capital
Burford Capital is the leading
global finance and asset 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 New York Stock
Exchange (NYSE: BUR) and the London Stock Exchange (LSE: BUR), and
it works with companies and law firms around the world from its
offices in New York, London, Chicago, Washington,
DC, Singapore,
Dubai, Sydney and Hong
Kong.
For more information, please visit www.burfordcapital.com.
This announcement does not constitute an offer to sell or the
solicitation of an offer to buy any ordinary shares or other
securities of Burford.
This announcement does not constitute an offer of any Burford
private fund. Burford Capital Investment Management LLC, which
acts as the fund manager of all Burford private funds, is
registered as an investment adviser with the US Securities and
Exchange Commission. The information provided in this announcement
is for informational purposes only. Past performance is not
indicative of future results. The information contained in this
announcement is not, and should not be construed as, an offer to
sell or the solicitation of an offer to buy any securities
(including, without limitation, interests or shares in any of
Burford private funds). Any such offer or solicitation may be made
only by means of a final confidential private placement memorandum
and other offering documents.
Forward-looking statements
This announcement contains
"forward-looking statements" within the meaning of Section 21E of
the US Securities Exchange Act of 1934, as amended, regarding
assumptions, expectations, projections, intentions and beliefs
about future events. These statements are intended as
"forward-looking statements". In some cases, predictive,
future-tense or forward-looking words such as "aim", "anticipate",
"believe", "continue", "could", "estimate", "expect", "forecast",
"guidance", "intend", "may", "plan", "potential", "predict",
"projected", "should" or "will" or the negative of such terms or
other comparable terminology are intended to identify
forward-looking statements, but are not the exclusive means of
identifying such statements. In addition, Burford and its
representatives may from time to time make other oral or written
statements which are forward-looking statements, including in its
periodic reports that Burford files with, or furnishes to, the
US Securities and Exchange Commission, other information made
available to Burford's security holders and other written
materials. By their nature, forward-looking statements involve
known and unknown risks, uncertainties and other factors because
they relate to events and depend on circumstances that may or may
not occur in the future. Burford cautions you that forward-looking
statements are not guarantees of future performance and are based
on numerous assumptions, expectations, projections, intentions and
beliefs and that Burford's actual results of operations,
including its financial position and liquidity, and the development
of the industry in which it operates, may differ materially from
(and be more negative than) those made in, or suggested by, the
forward-looking statements contained in this announcement.
Significant factors that may cause actual results to differ from
those Burford expects include, among others, those discussed under
"Risk Factors" in Burford's annual report on Form 20-F for the year
ended December 31, 2022 filed with
the US Securities and Exchange Commission on May 16, 2023 and other reports or documents that
Burford files with, or furnishes to, the US Securities and
Exchange Commission from time to time. In addition, even if
Burford's results of operations, including its financial position
and liquidity, and the development of the industry in which it
operates are consistent with the forward-looking statements
contained in this announcement, those results of operations or
developments may not be indicative of results of operations or
developments in subsequent periods.
Except as required by law, Burford undertakes no obligation to
update or revise the forward-looking statements contained in this
announcement, whether as a result of new information, future events
or otherwise.
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SOURCE Burford Capital