TORONTO, ONTARIO–(Marketwired – Nov. 27, 2015) – Grenville Strategic Royalty Corp. (TSX VENTURE:GRC) (“Grenville”) today announced the buyout of its investment in 4tell™ Solutions (Canada) Inc., Grenville’s fifth contract buyout in 2015. Grenville’s total return, from its investment in December 2013, represents an IRR of approximately 42% and a 1.75x cash on cash return.
“This is another solid return for our portfolio,” said Grenville’s Chief Executive Officer, William (Bill) Tharp. “This Contract Buyout brings our total to five in 2015, generating $14.6 million of capital on $9.15 million of invested capital, for an average cash on cash return of 1.84 times our investments. This represents an acceleration of cash flows to Grenville across these investments by 6.6 years based on royalty streams at the time of the buyout. This also represents another great example of the strength of Grenville’s business model by providing our shareholders access to venture capital-like returns through Contract Buyouts with the underlying strength of a growing and diversified portfolio providing consistent dividend returns.”
Following this transaction, Grenville has approximately $27.2 million of capital available for investments.
About Grenville
Based in Toronto, Grenville Strategic Royalty Corp. is a publicly-traded royalty company that makes investments in established businesses with revenues of up to $50 million dollars. Grenville generates revenues from royalty payments and buyouts from contracts. The non-dilutive royalty financing structure offered by Grenville competes directly with traditional equity to meet the long-term financing needs of companies on more attractive commercial terms. To date, Grenville has announced cash inflows of $22.7 million from $47.4 million invested in the two years since its inception.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
CONTACT INFORMATION
Grenville Strategic Royalty Corp.
William (Bill) R. Tharp
President and Chief Executive Officer
(416) 777-0383