Burford has announced access to almost $1bn of new capital, which, combined with its balance sheet, gives a new and financially attractive structure for how the next $1.6bn of litigation finance investments will be made. The most significant part of this is a new strategic capital relationship with a sovereign wealth fund (SWF). The SWF and Burford have committed a $1bn pool of capital, with the former supplying $667m. Burford will supply the remaining one-third of the capital, but receive 60% of the investment profits. In addition, 50% of the new investments made will be allocated to the pool over the next four years, or until the pool is invested.
03 Jan 2019
Next $1.6bn of investments to boost returns
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Next $1.6bn of investments to boost returns
Burford Capital Limited (BUR:LON) | 1,064 0 0.0% | Mkt Cap: 2,331m
- Published:
03 Jan 2019 -
Author:
Brian Moretta -
Pages:
7
Burford has announced access to almost $1bn of new capital, which, combined with its balance sheet, gives a new and financially attractive structure for how the next $1.6bn of litigation finance investments will be made. The most significant part of this is a new strategic capital relationship with a sovereign wealth fund (SWF). The SWF and Burford have committed a $1bn pool of capital, with the former supplying $667m. Burford will supply the remaining one-third of the capital, but receive 60% of the investment profits. In addition, 50% of the new investments made will be allocated to the pool over the next four years, or until the pool is invested.