SQN Secured Income Fund Plc
19 June 2020
SQN SECURED INCOME FUND PLC
Results of General Meeting
The Directors announce that at the general meeting of the Company held earlier today (the "General Meeting"), in accordance with the Directors' recommendation set out in the shareholder circular dated 26 May 2020 (the "Circular"), the resolution in connection with the continuation of the Company as set out in the Circular (the "Continuation Resolution") was not passed by shareholders.
As explained in the circular to shareholders dated 26 May 2020, the Directors acknowledge that the Company has not, since launch, scaled in the manner the Board, the manager and shareholders had hoped and the Directors have been considering the future of the Company in the light of this. In addition, under the Company's Articles of Association, as the Company did not have a Net Asset Value of at least £250 million as at 31 December 2019, the Directors were required to convene a general meeting to propose an ordinary resolution to shareholders to approve the continuation of the Company as an investment trust.
As indicated above, shareholders did not vote in favour of continuation of the Company. Accordingly, the directors are required under the Articles of Association to convene a further general meeting of the Company to be held within 90 days of the date of the General Meeting to consider a special resolution to approve the voluntary winding up or other reconstruction of the Company. Therefore, the Board will now undertake a strategic review into the future of the Company, in particular examining the likely returns to shareholders and the timing of any managed wind down of the investment portfolio compared to other options to return capital to shareholders or the creation of a more liquid investment in a larger vehicle listed on the London Stock Exchange. The Board will consult with shareholders as part of the strategic review process and intends to inform shareholders of the outcome of the strategic review at the end of August 2020 with a view to holding the required general meeting in September 2020.
Details of the number of proxy votes cast for, against and withheld in respect of the Continuation Resolution (which was held on a poll) are set out below and will also be published on the Company's website, www.kkvim.com/sqn-secured-income-fund/.
That, in accordance with Article 190.3 of the articles of association of the Company, the continuation of the Company be approved.
*A vote withheld is not a vote in law and has not been counted in the votes for and against the Continuation Resolution.
Alternate Director Appointment
The Board announces the appointment of Mr Douglas Armstrong as an alternate independent, non-executive Director for Mr David Stevenson with effect from the start of the General Meeting until the conclusion of the General Meeting. Mr Armstrong is a solicitor at Dickson Minto W.S., the Company's lawyers. Mr Armstrong acted as Chairperson of the meeting.
There is no other information required to be disclosed pursuant to paragraph 9.6.13R of the Listing Rules in relation to this appointment.
KKV Investment Management Ltd
Catherine Halford Riera
tel: +44 20 7429 2200
William Marle / Giles Rolls
tel: +44 20 7220 0500
Kepler Partners LLP
Hugh van Cutsem
tel: +44 20 3384 8790
Charles Ryland/Henry Wilson
tel: +44 20 7466 5000
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