Life Settlement - Final Results

Life Settlement Assets PLC: Final Results

28 April 2025

Life Settlement Assets PLC

(the "Company" or "LSA")

Results for the year ended 31 December 2024

LSA, a closed-ended investment trust company which invests in, and manages, portfolios of whole interests in life settlement policies issued by life insurance companies operating predominantly in the United States, is pleased to announce its results for the year ended 31 December 2024, and the publication of its 2024 Annual Report.

The highlights of the year were as follows:

Net Asset Value

·USD 101.0 million, representing USD 2.23 per share.

Maturities

·Maturities totalling USD 23.1 million were declared of which USD 14.1 million were non-HIV policies, and USD 9.0 million were HIV policies.

Mutual Benefits Keep Policy Trust ("MBC") Action

·Steady progress has continued with the finalisation of administrative arrangements relating to the MBC action. Funds amounting to USD 9.7 million were received by the Company on 28 August 2024, comprising the first tranche of the MBC sale proceeds of USD 5.7 million and the return of overpaid premiums of USD 4.0 million. The second tranche of the MBC sale proceeds of USD 6.0 million is expected to be received by the Company during 2025.

Costs

·Decrease in total ongoing charges ratio from 5.6% to 5.0% of average net assets in 2024.

·Ongoing charges ratio excluding policy servicing fees and legal costs of decreased from 3.1% to 2.7% of average net assets.

·Ongoing focus on management of costs.

Dividends

·  During the year, LSA announced the declaration of a further special dividend of 6.0209 cents per share, totalling approximately USD 3.0 million, which was paid to Shareholders on 15 March 2024.

Share Buybacks

·  The Company bought back and cancelled 4,423,841 shares in the year to 31 December 2024, representing 8.9% of the issued share capital at 31 December 2023 at a total cost of USD 7.8 million.

Post Balance Sheet Events

On 28 March 2025 the Company announced that since the year end further examination of the portfolio acquired from the MBC Trustee had revealed that the MBC Trustee had previously not exercised an extension to a particular policy which extended the maturity from 100 to 120 years and that this was likely to have a detrimental impact on the NAV of 3-4%.

Full details are included in the Chairman's Statement and the Investment Manager's Report.

This has been considered as an adjusting post balance sheet event and the effect has been recognised in the financial statements.

Since the year end, the Company has bought back 622,231 Ordinary A Shares at a total cost of USD 1.1 million representing 1.4% of the shares in issue at the year end. At the date of the signing of this report the number of shares in issue is 44,780,712.

Michael Baines, Chairman, commented:

"The Board believes that its focus on simplifying your Company's portfolio structure and cost base over previous years now offers a clearer investment proposition to Shareholders and future investors. This also allows the Board to maintain its attention on the delivery of the three core components of the Company's strategy - comprising monitoring and refining the accurate measurement and forecasting of NAV, control of costs, and the delivery of returns to Shareholders.

Recognising the migration of the portfolio from an emphasis on non-HIV policies to an entirely HIV based portfolio, the Board is aware this forecast maturity profile is likely to result in a reduced level of cash inflows from maturities in this portfolio over the period 2028 -2032. In order to mitigate the impact of this shortfall the Board is exploring a number of other opportunities to purchase alternative distressed assets with maturity profiles matched to this time period.

Alongside this, the Board will continue to explore opportunities to provide satisfactory returns to Shareholders through dividends and share repurchases "

The Directors are pleased to attach the Company's annual report and financial statements for the year ended 31 December 2024.

Click on the following link, or paste it into your web browser, to view the associated PDF document:

http://www.rns-pdf.londonstockexchange.com/rns/5190G_1-2025-4-28.pdf

The annual report and financial statements for the year ended 31 December 2024 may also be downloaded from the Company's website at https://www.lsaplc.com/investor-relations/annual-reports/

For further information contact:

Acheron Capital Limited (Investment Manager)

Jean-Michel Paul

020 7258 5990

Shore Capital (Financial Adviser and Broker)

Gillian Martin / Anita Ghanekar

020 7408 4090

ISCA Administration Services Limited

Company Secretary

Tel: 01392 487056

DISCLAIMER

Neither the contents of the Company's website nor the contents of any website accessible from hyperlinks on the Company's website (or any other website) is incorporated into, or forms part of, this announcement.

NATIONAL STORAGE MECHANISM

A copy of the 2024 Annual Report and Accounts will be submitted shortly to the National Storage Mechanism ("NSM") and will be available for inspection at the NSM, which is situated at:

https://data.fca.org.uk/#/nsm/nationalstoragemechanism

Notes to Editors

Life Settlement Assets PLC is a closed-ended investment trust company which invests in, and manages, portfolios of whole and fractional interests in life settlement policies issued by life insurance companies operating predominantly in the United States. The Company seeks to generate long-term returns for investors by investing in the life settlement market. The Company aims to manage its investment in portfolios of life settlement products so that the realised value of the policy maturities exceeds the aggregate cost of acquiring the policies, ongoing premiums, management fees and other operational costs.