Riverstone Credit Opportunities Income

Continues to deliver an 8–10% dividend yield

30 January 2024

Riverstone Credit Opportunities Income (RCOI) reported an FY23 NAV total return (TR) of 6.0%, with continued steady income from its fully invested portfolio, though with some headwinds from the valuation of warrants. RCOI paid three quarterly dividends of 2.0 US cents per share for 9M23, and is therefore on track to deliver at least the lower bound of its targeted dividend yield of 8–10% on its IPO price of US$1.00. At the current 18.2% discount to NAV, RCOI’s last 12-month dividend translates into an annualised dividend yield of c 10%. MORE »

Niche energy infrastructure lending

11 March 2021

Riverstone Credit Opportunities Income (RCOI) is a closed-end fund that invests in mid-market energy company credit mostly via direct loans. Broadly across the sector, the lending includes infrastructure and infrastructure services across conventional and recently renewable energy sources. Energy lending is a specialist niche and RCOI benefits from being part of Riverstone, a leading energy-focused US investment company that has raised $41bn in capital since 2000. The average RCOI loan YTM is 12.5% and despite the pandemic and low oil prices, there have been no portfolio losses. The NAV has been resilient (12% total return since IPO in May 2019), but energy sector and oil price concerns, coupled with low share liquidity, have led to a 20% NAV discount and a dividend of 8.3%. MORE »