IMF Bentham launches $US200m investment vehicle

Litigation funder IMF Bentham has launched a $US200 million investment vehicle to expand its business in the US.

IMF said today it had committed to invest $US33.3 million by way of subscription stock in Bentham IMF Funding Vehicle, with scope to increase the investment to $US50 million, while a special purpose vehicle funded and managed by affiliates of Fortress Credit Advisors will invest up to $US100 million, with a provision for a further $US50 million.

The ASX-listed firm said the funds would be used to invest in US cases and matters.

“IMF will direct all US opportunities to the Bentham IMF Funding Vehicle for three years or such shorter period required to deploy the committed capital,” it said.

“IMF is, at present time, intending to fund its capital commitment to Bentham IMF Funding Vehicle from its internal cash resources.

“By leveraging its investments in the US, IMF is aiming to generate a return from the capital it invests in the Bentham IMF Funding Vehicle that is far superior to the return it would expect to achieve by investing the same amount directly into litigation funding assets.”

IMF said it would appoint board members to the investment vehicle which would manage the branch.

Shares in IMF were 3.1 per cent higher to $1.82 each at the close.

The ASX-listed firm said the funds would be used to invest in US cases and matters