Duke Royalty Limited, a provider of alternative capital solutions to a diversified range of profitable and long-established businesses in Europe and abroad, has contributed a further GBP1 million into its existing royalty partner, Lynx Equity (UK) Limited (Lynx UK).
Lynx UK will allocate Duke’s further contribution towards the acquisition of Day 2 Interiors (“Day2”) which was recently closed by Lynx and represents its fourth European acquisition.
Based on the new increased aggregate investment of GBP10 million, Duke will be entitled to higher monthly distributions from Lynx UK, beginning in October 2018, which will total GBP1.25 million per annum. The terms of the additional GBP1 million contribution match the previous investments made into Lynx UK.
Founded in 2001, Day2 is a 17-year-old profitable UK private company primarily focused on the supply of office furniture and interior design in the UK. Day2 represents the biggest investment made by Lynx UK to date and further strengthens the Company’s consolidated profitability as well as the sector diversification amongst its underlying operating subsidiaries.
Neil Johnson, CEO of Duke Royalty, said: “We are delighted with this investment because it significantly improves Duke’s coverage ratio as well as its security package. Day2 represents the biggest investment made by Lynx UK to date, and we believe the Company will provide robust, stable and long term returns to our shareholders.”
