Litigation funder Juridica has announced a partial settlement in one of its cases that has generated a gain of $12.5m (£8m).
The return is in line with the company’s expectations, as previously reflected in the AIM-listed company’s unrealised profits.
It has now brought in gross proceeds of $30m in 2013, “with further progress expected during the next 12 months”. Since opening for business, Juridica has generated gross proceeds of $117m.
During 2013 Juridica has paid or announced a total of 23p per share in dividends as its investments mature, and in a statement today it said: “As a result of today's announcement and in anticipation of possible further returns before the year end, the board will consider the declaration of additional dividends by the end of the year.
“If made, such sum would be not less than 4p per share in addition to the 10p per share (or approximately $16m in aggregate) announced on 4 July 2013 which will be paid on 15 January 2014 to shareholders on the register at 13 December 2013.”
After paying the 10p dividend, Juridica will have returned $64m to shareholders in the form of $54m in dividends and $10m as a result of a share buy-back scheme in 2010.
Juridica has so far raised $210m of capital in two tranches.
Lord Brennan, Juridica’s chairman, said: “We are pleased with the portfolio's progress during the year and by our ability to deliver dividend income to investors. Today's win underlines our confidence in the company's investments, validating the mix of opportunities chosen by our investment manager.
“We remain focused on the company’s objectives of dividend income and NAV [net asset value] growth.”