Trident Royalties Plc (LSE:TRR), formerly known as Trident Resources Plc, is an AIM listed royalty finance and streaming company. Its main focus is to acquire or underwrite cash generative revenue royalties and income streams from established mining companies.
Trident Royalties was admitted to AIM on 2nd June 2020 when it raised £16 million by way of a placing of 80 million ordinary shares at a share price of 20 pence each.
At the date of admission the company had 103.5 million shares in issue and its market capitalisation was £20.7 million.
In October 2020, Trident still had 103.5 million shares in issue and the TRR share price was 29 pence, giving a market cap of £31 million.
Trident Royalties is also listed on the Frankfurt Stock Exchange (FSX:5KV).
Overview of the company’s assets
Initially, Trident plans to acquire existing royalties and income streams on the secondary market but over time will explore writing new financing arrangements and it will focus mainly on small to medium size transactions.
The investment case for Trident’s business model is set out in its Q2 2020 Corporate presentation. The company aims to acquire and build a royalty and streaming portfolio which has the following attributes:
- High yielding investments ranking senior in the capital structure and often secured
- The investment is not directly exposed to capital or operating costs of underlying assets
- Exploration and capital investment by the mining company will add value at no cost to Trident as the royalty holder.
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