Guernsey-based Duke Royalty has exited its investment in Irish telecoms and IT services firm Welltel, generating a 27pc return.
Meanwhile, UK private equity firm Livingbridge said it has invested in Welltel, which has about 3,500 clients including Permanent TSB, Zurich, Specsavers and Northern Ireland Water. Livingbridge said it intends to support Welltel in further acquisition activity.
Duke Royalty Ltd on Thursday said it has made a follow-on investment of EUR1.1 million into its existing royalty partner, BHPC Ltd, an Irish brokerage.
The financing provider said the investment will provide growth capital to BHPC, which will position the business well for 2021 as Ireland recovers from Covid-19.
Duke’s original investment into BHPC was in August 2019, totalling EUR4.6 million, with the investment announced on Thursday increasing Duke’s invested capital to EUR5.7 million.
A Derbyshire company which supplies parts to the caravan industry has landed a £3.1m cash injection from an alternative finance firm.
Duke Royalty has invested the cash into the MRDB Holdings Limited Group, which trades as Miriad Products in Foston.
Formed in 1977, Miriad is the largest privately-owned recreational vehicle parts wholesale company in the UK.
Alternative capital provider Duke Royalty announced a follow-on investment of £3.1m into its existing royalty partner MRDB Holdings, trading as Miriad Products, on Tuesday.
UK stocks bounced on Tuesday after Monday’s sharp losses in reaction to stricter lockdown measures amid rising virus cases related to a new, potential more easily transmitted strain.
Shares in alternative financing business Duke Royalty (DUKE:AIM) gained 2.6% to 30.78p after reporting a resilient first-half and re-instating a third-quarter dividend of 0.5p per share.
Royalty finance is a £50 billion industry in North America but it remains relatively new in the UK. This possibly gives Duke an advantage as the only UK-quoted royalty company.
A housebuilder to play the seasonal sector rally, a crude palm oil producer benefiting from the sharp rally in CPO prices, a tech company that has just sold off a major holding for a massive premium and more.
Duke Royalty (DUKE:23p), an Aim-traded company that makes its money by providing capital to companies in exchange for rights to a small percentage of their future revenues over a typical term of 25-40 years, has issued results for the 12 months to 31 March 2020. They reveal the short-term financial hit from the Covid-19 pandemic on the portfolio, and the opportunity, too.
Alternative capital provider Duke Royalty said on Wednesday that the “general upturn” in trading seen across its partners in the first quarter had continued into the second.
