Side Pockets - November and December 2022 report SCBADAGIO & SCBMBOND

20 January 2023

As SCB Asset Management Company Limited (SCBAM) previously announced on the closure of SCBADAGIO and SCBMBOND and returned the sale proceeds from the Mirror Fund after deduction of expenses to the unitholders.

SCBAM would like to further update on the Side Pockets – November and December 2022 reports of H2O Adagio SP SR and H2O MultiBonds SP I (the Master Funds of SCBADAGIO and SCBMBOND respectively) as follows:

ISIN Code Side Pocket	Name of the Side Pockets in EUR	Date as of 30/09/2022	Date as of 30/12/2022	Change in estimated valuation
FR0013535077	H2O Adagio SP SR	4.90	5.02	2.45%
FR0013535960	H2O MultiBonds SP I	28,711.84	28,845.42	0.47%

Monthly comments:

November Report: As previously communicated, H2O AM has been actively working with its financial and legal advisors on multiple scenarios regarding the liquidation of the assets held in the Side Pocket funds, it was decided to temporarily suspend the publication of the estimated NAV for the Side Pocket funds dated 30th November 2022. Until further notice.
December Report: On July 29, 2022, H2O AM communicated on its website the different steps and actions implemented in the liquidation of assets under the best possible conditions. It also communicated on its objective to obtain the first cash reimbursements from the Tennor Group in 2022, thus initiating the reimbursement phase of unitholders. As a reminder, the asset-disposal process was notably reorganized in May 2021 through the issuance of the First Super Senior Secured Note (FSSSN).

Following the sale of shares and the partial reimbursement of the FSSSN at the end of December 2022, which has decreased in nominal value by EUR 250m, the first phase of reimbursement of unitholders will be implemented on the funds H2O Adagio SP, H2O Moderato SP, H2O MultiBonds SP, H2O Allegro SP, H2O MultiEquities SP and H2O MultiStrategies SP.

The estimated valuation of the side pockets as of 30/12/22 is calculated before the reimbursement. This amount will be communicated via a letter to unitholders per fund. During the distribution in the coming days, a new estimated valuation will be calculated resulting from a decrease of amount identical to the cash distributed to unitholders.

Source Side Pockets – November and December 2022 reports from H2O Asset Management.

Please be informed accordingly.
SCB Asset Management Company Limited