Orchard Funds Management Update

We can confirm with you as a client that we are supporting a bid in the Orchard/KPMG process who has significant financial backing.

Subject to due diligence we would seek to recapitalise the Orchard platform.

 The indicative proposal includes approximately $100 million in capital to:

• Stabilise DPF and COF.
• Seek to restore fund distributions to investors.
• Give unit holders a real chance of restoring their equity over the longer term by not diluting them now unnecessarily.
• Look at possibility of creating a liquidity function for unit holders.
• In addition to financial backing, the syndicate brings to the table a wealth of experience in bank negotiations and distressed business.

Why have we come up with this proposal?

As unit holders in Orchard we have sat down with our syndicate members and said from our perspective this is what we need to happen to protect our investments and their future value. They have listened and radically amended their original proposition to make it acceptable to us and hopefully other stakeholders.

Centre Capital staff and principles have money invested in these products alongside that of our clients and whilst we are very disappointed with the current position of the funds we will be endeavouring to pursue all opportunities that are in our clients best interests to remedy this.
 
Team at Centre Capital