Q3 2023 Portfolio Valuations & Recent Activity

Riverstone Credit Opps. Inc PLC
25 October 2023
 

25 October 2023

Riverstone Credit Opportunities Income

Quarterly Update

Full Deployment Sustained Resulting in Robust Q3 Performance

Targeted annual dividend returns of 8-10% on subscribed capital

 

Riverstone Credit Opportunities Income ("RCOI" or the "Company"), the LSE-listed energy infrastructure and energy-transition credit investor, is pleased to announce a robust portfolio performance for the quarter ended 30 September 2023, in which full deployment in energy transition investments now means that shareholders will benefit from the portfolio's high earnings power and targeted annual dividend returns of 8-10% on subscribed capital.

 

Unaudited Net Asset Value

 

As at 30 September 2023, the unaudited net asset value per Ordinary Share, including net revenue for the quarter ended 30 September, stayed stable at $1.07 ($1.07: 30 June 2023). The stability was due to continued strong performance by the unrealised portfolio.

 

Portfolio Summary and Key Performance Indicators

 

·    Portfolio of 100% floating rate, short duration, senior secured loans supporting RCOI's ambition to deliver annual returns to shareholders of 8-10% whilst investing in companies engaged in the energy transition

·    39.8% NAV total return5 since IPO in May 2019 (33.7% at 31 December 2022)

·    29.6 cents in dividends paid since inception6

Portfolio Update

·    Against a backdrop of strong energy market performance, the global focus on decarbonisation and the Company's unique focus on short duration lending, the Company remains extremely well positioned in the current environment with a portfolio of accredited energy-transition focused investments entirely through green or sustainability-linked structured loans.

·    Based on current portfolio commitments, as well as the addition of the revolving credit facility in Q4 2022, the Company is nearly fully invested as of 30 September 2023.  

Reuben Jeffery III, Chairman of RCOI, commented:

"The RCOI portfolio performed strongly in Q3 2023. The Company continues to be a beneficiary of the current interest rate environment with a strategy focused on floating rate, short duration loans that are designed to capture the elevated value for our shareholders in the rapidly changing macro environment.

Since launch in May 2019, the Company has now delivered a total NAV return5 of 39.8% (33.7% at 31 December 2022) including 29.6 cents per share in dividend distributions6."

 

Christopher Abbate and Jamie Brodsky, Co-Founders of Riverstone Credit, the investment adviser, added:

"We continue to be encouraged by the Company's strong performance and its advantageous positioning in the current environment. In addition to the attractive financial returns delivered, we would also highlight that the portfolio consists entirely of Green and Sustainability-Linked loans that contribute positively towards the energy transition across a wide variety of applications. The Company's near complete deployment in such investments means that shareholders will benefit from full exposure to the high earnings power of the portfolio's energy transition investments, which should further supplement available income to deliver the targeted annual dividend returns of 8-10% on subscribed capital."

 

Cumulative Portfolio Summary

Unrealised Portfolio[1]

Investment Name

Subsector

Commitment Date

Cumulative Committed Capital ($mm)

Cumulative Invested Capital ($mm)

Gross Realised Capital ($mm)1

Gross Unrealised Value ($mm)

Gross Realised Capital & Unrealised Value ($mm)

% of Par as of 30 Sep 20232

% of Par as of 30 June 20232

30 Sep 2023 Net MOIC

Caliber Midstream3

Infrastructure

Aug-19

4.0

4.0

0.5

0.5

1.0

36.12%

38.44%

0.24x

0.17x

Imperium3NY LLC

Energy Transition

Apr-21

6.8

5.4

6.7

0.9

7.6

0.914

0.914

1.42x

1.34x

Blackbuck Resources LLC

Infrastructure

Jun-21

11.5

11.0

4.1

10.3

14.4

103.19%

102.57%

1.31x

1.23x

Harland & Wolff Group Holdings PLC

Infrastructure Services

Mar-22

14.6

14.6

1.2

17.9

19.1

106.92%

106.11%

1.31x

1.24x

Seawolf Water Resources

Services

Sept-22

9.0

9.0

0.6

13.1

13.6

13.064

12.994

1.51x

1.44x

EPIC Propane Pipeline, LP

Infrastructure

Sept-22

13.9

13.9

1.9

13.9

15.8

99.33%

99.24%

1.14x

1.06x

Hoover Circular Solutions

Infrastructure Services

Nov-22

13.7

13.7

1.1

14.2

15.4

98.32%

98.18%

1.12x

1.04x

Clean Energy Fuels Corp

Energy Transition

Dec-22

13.9

13.9

1.4

13.9

15.3

99.39%

99.47%

1.11x

1.03x

Max Midstream

Infrastructure

Dec-22

5.0

5.0

0.4

5.2

5.6

101.38%

100.84%

1.13x

1.05x

Streamline Innovations Inc.

Infrastructure Services

Jun-23

9.9

3.5

0.3

3.6

3.8

99.20%

99.13%

1.08x

1.06x




$102.3

$94.0

$18.2

$93.5

$111.7

 

 

1.19x

1.11x

 

 

 












 

Direct Lending Consolidated Portfolio Key Stats at Entry As of 30 September 2023

 

 

Weighted Avg. Entry Basis

97.5%

 

 

Weighted Avg. All-In Benchmark Rate at Entry

4.6 p.a.

 

 

Weighted Avg. Floating Rate Spread at Entry

7.1 p.a.

 

 

Weighted Avg. All-in Coupon at Entry

11.7 p.a.

 

 

Weighted Avg. Undrawn Spread at Entry

4.0 p.a.

 

 

Weighted Avg. Tenor at Entry

3.4 years

 

 

Weighted Avg. Call Premium at Entry

102.6

 

 

Security

100% Secured

 

 

Realised Portfolio

Investment Name

Subsector

Commitment Date

Realisation Date

Cumulative Committed Capital ($mm)

Cumulative Invested Capital ($mm)

Gross Realised Capital ($mm)1

30 Sep 2023 Gross MOIC

30 Sep 2023 Net MOIC

Rocky Creek Resources

Exploration & Production

Jun-19

Dec-19

6.0

4.3

4.9

1.15 x

1.10 x

CIG Logistics

Infrastructure Services

Jan-20

Jan-20

8.7

8.7

8.9

1.02 x

0.97 x

Mallard Exploration

Exploration & Production

Nov-19

Apr-20

13.8

6.8

7.7

1.13 x

1.08 x

Market Based

Multiple

Aug-20

Nov-20

13.4

13.4

13.6

1.01 x

0.96 x

Project Yellowstone

Infrastructure

Jun-19

Mar-21

5.8

5.8

7.2

1.23 x

1.18 x

Ascent Energy

Exploration & Production

Jun-19

Jun-21

13.3

13.3

16.1

1.21 x

1.16 x

Pursuit Oil & Gas

Exploration & Production

Jul-19

Jun-21

12.3

12.3

15

1.22 x

1.16 x

U.S. Shipping

Infrastructure Services

Feb-21

Aug-21

6.5

6.5

7.3

1.13 x

1.07 x

Aspen Power Partners

Infrastructure

Dec-20

Oct-21

6.9

3.4

4.3

1.27 x

1.22 x

Project Mariners

Infrastructure Services

Jul-19

Apr-22

13.2

13.2

17.6

1.33x

1.28 x

Roaring Fork Midstream

Infrastructure

Mar-21

Jun-22

5.9

5.9

6.9

1.16x

1.11 x

FS Crude, LLC

Infrastructure

Mar-20

Sept-22

13.7

13.7

16.9

1.23x

1.18 x

EPIC Propane Pipeline, LP

Infrastructure

Dec-19

Sept-22

14.8

14.8

19.6

1.32x

1.27 x

Circulus Holdings, PBLLC

Infrastructure

Aug-21

Oct-22

12.3

12.3

14.0

1.14x

1.09 x

Hoover Circular Solutions

Infrastructure Services

Oct-20

Nov-22

15.4

15.4

17.0

1.10x

1.05 x

Streamline Innovations Inc.

Infrastructure Services

Nov-21

Jun-23

13.8

6.9

8.9

1.29x

1.23x





$175.9

$156.7

$185.7

1.18x

1.13x

 

The Gross Realised Capital column includes interest, fee income, and principal received. The Gross Unrealised Value column includes the amortization of OID, accrued interest, fees and any unrealised change in the value of the investment.

For Riverstone Credit Opportunities Income Plc:

Adam Weiss

+1 212 271 2953

 

J.P. Morgan Cazenove (Corporate Broker)

+44 (0)20 7742 4000

William Simmonds

 

Jérémie Birnbaum

 

James Bouverat (Sales)


 

Media Contacts:

Buchanan

Helen Tarbet

Henry Wilson

Verity Parker

Tel: +44 (0) 20 7466 5109

Tel: +44 (0) 20 7466 5111

Tel: +44 (0) 20 7466 5197

Email: rcoi@buchanan.uk.com

 

About Riverstone Credit Opportunities Income Plc:

 

RCOI lends to companies that build and operate the infrastructure used to generate, transport, store and distribute both renewable and conventional sources of energy, and companies that provide services to that infrastructure. RCOI also lends to companies seeking to facilitate the energy transition by decarbonizing the energy, industrial and agricultural sectors, building sustainable infrastructure and reducing or sequestering carbon emissions. The Company seeks to ensure that its investments are having a positive impact on climate change by structuring each deal as either a green loan or a sustainability-linked loan, documented using industry best practices.

 

For further details, see https://www.riverstonecoi.com/.

 

Neither the contents of RCOI's website nor the contents of any website accessible from hyperlinks on the websites (or any other website) is incorporated into, or forms part of, this announcement.

 



1 Gross realised capital is total gross income realised on invested capital.

2 Includes fair market value of equity and rights where applicable as a percentage of par.

3 Includes Caliber HoldCo Escrow, Caliber MFC LLC equity, Caliber Midstream Term Loan & Priming Facility.

4 Reflects the total fair market value in millions.

5 NAV total return equals cumulative paid dividend cents per share and NAV per share as of 30 September 2023 divided by the opening capital net of share issuance costs as of 28 May 2019.

6 Reflects cumulative dividend cents per share declared as of 30 June 2023 and paid as of 30 September 2023.

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.
 
END
 
 
UK 100

Latest directors dealings