Adamas Finance Asia Limited GCCF successfully exits Project Media
July 06 2016 - 2:00AM
RNS Non-Regulatory
TIDMADAM
Adamas Finance Asia Limited
06 July 2016
ADAMAS FINANCE ASIA LIMITED
Greater China Credit Fund successfully exits Project Media
Adamas Finance Asia Limited ("ADAM" or the "Company") is pleased
to announce that the Greater China Credit Fund L.P. (the "Fund" or
"GCCF"), into which the Company has invested US$4.0 million, has
achieved a successful exit from Project Media, a bridging-finance
investment project that has yielded a gross internal rate of return
(IRR) of 22.2%.
GCCF is an investment vehicle established by ADAM's investment
manager, Hong Kong-based Adamas Asset Management (HK) Limited
("Adamas"), to provide secured financing for operationally-strong
growth companies in China.
The Project Media financing involved the provision by GCCF of
HK$40 million (approximately US$5.1 million) in bridge funding to
support the development of a media business listed on the Hong Kong
stock exchange. The collateral backing for the loan was a
proportion of the borrower's shareholding in the listed company.
The borrower has now repaid in full both the principal and interest
on the loan, and the successful exit has increased GCCF's net asset
value by US$1.5 million, with the cash generated now available for
future investment.
ADAM's initial US$1 million investment in GCCF in August 2013
has to date yielded dividend distributions totalling US$361,000.
The Company invested a further US$3.0 million into GCCF in March
2016.
ADAM Chairman John Croft said: "This successful exit from
Project Media provides another important example of how our Hong
Kong advisory team is able to structure successful deals with
strong Chinese partners who meet stringent due diligence standards.
The bridging finance has been repaid in full and on schedule, and
we look forward to further returns from our continuing investment
in GCCF."
GCCF's investment in Project Media was in line with the
strategic approach set by the Adamas Hong Kong team, which places
strong emphasis on rigorous due diligence, tight management
involvement and robust collateral.
Established in August 2013, GCCF aims to address the trillion
dollar funding gap that exists for SMEs across Greater China,
capitalising on the inefficiencies of the "grey banking" finance
industry. The Fund is a four-year closed-end structure targeting a
return of 15%-18% net IRR.
Enquiries:
Adamas Finance Asia Limited
John Croft +44 (0) 1825 830587
WH Ireland Limited
Tim Feather +44 (0) 113 394
Liam Gribben 6600
First City Public Relations
(Hong Kong) +852 2854 2666
Allan Piper
This information is provided by RNS
The company news service from the London Stock Exchange
END
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