We are pleased to announce that since reopening Kestrel Opportunities (“KOF” or the “Fund”) in May 2015, it has received new subscriptions totalling almost £60 million, which was in line with our target.
As a result, the Fund has once again stopped processing any subscriptions that would increase its issued share capital above the current level of c.46.7million units.
Any subscription requests for units in KOF following 1 March 2016 will be treated in the following order:
(i) In the first instance, they will be matched against any redemption notices (subject to the approval of the redeeming shareholder). This matching facility is administered by Praxis Fund Services, administrators to the Fund, with units trading at the prevailing Net Asset Value (less the deduction of any performance fee, as appropriate);
(ii) In the absence of sufficient outstanding redemption notices, issue new units in KOF to satisfy subscription requests (in full, or in part) subject to KOF’s share capital not exceeding
46.7 million units;
(iii) If KOF’s share capital is at the target level of 46.7m units, subscription requests will be retained pending receipt of subsequent redemption notices, but only matched against such
redemption notices after the subscriber has reconfirmed they wish to apply for units in KOF.
All subscription requests will be allocated in the order in which they are received.
Max Royde, Chief Executive of Kestrel Partners LLP, commented: “Following this successful raise, the Fund’s net assets are now approximately £220m, of which over 20% is in cash. This gives us some very significant firepower to take advantage of opportunities in our chosen segment of the UK small cap market.
We will continue to facilitate the operation of a secondary market in KOF units. The objective of this secondary market is to enable existing investors to redeem units earlier than the standard 12 month notice period, without penalty, at the same time as enabling new investors to acquire units in KOF when they would not otherwise be able to.”