424B3 1 d257951d424b3.htm 424B3 424B3

Filed Pursuant to Rule 424(b)(3)
Registration No. 333-185676

 

TRILINC GLOBAL IMPACT FUND, LLC

SUPPLEMENT NO. 5 DATED SEPTEMBER 14, 2016

TO THE PROSPECTUS DATED APRIL 28, 2016

This prospectus supplement (“Supplement”) is part of and should be read in conjunction with the prospectus of TriLinc Global Impact Fund, LLC (the “Company”), dated April 28, 2016, as supplemented by Prospectus Supplement No. 1, dated May 11, 2016, Prospectus Supplement No. 2, dated June 9, 2016, Prospectus Supplement No. 3, dated July 7, 2016, and Prospectus Supplement No. 4, dated August 17, 2016 (the “Prospectus”). Unless otherwise defined herein, capitalized terms used in this Supplement shall have the same meanings as in the Prospectus.

The purposes of this Supplement are as follows:

 

A. To provide information regarding our public offering;

 

B. To provide information regarding distributions declared;

 

C. To update the section of the Prospectus titled “Suitability Standards;”

 

D. To update the section of the Prospectus titled “Business;”

 

E. To update the section of the Prospectus titled “Management of the Company;”

 

F. To update the sections of the Prospectus titled “Prospectus Summary—Unit Repurchase Program” and “Unit Repurchase Program;” and

 

G. To update the sections of the Prospectus titled “Prospectus Summary—Distribution Reinvestment Plan” and “Distribution Reinvestment Plan.”

 

A. Status of Our Public Offering

As of September 12, 2016, we had raised gross proceeds of approximately $256.0 million from the sale of approximately 26.0 million units of our limited liability company interest, including units issued pursuant to our distribution reinvestment plan.

 

B. Declaration of Distributions

On August 11, 2016, with the authorization of our board of managers, the Company declared distributions for all classes of units for the period from August 1 through August 31, 2016. These distributions were calculated based on unitholders of record for each day in an amount equal to $0.00197268 per unit per day (less the distribution fee with respect to Class C units). On September 1, 2016, $816,582 of these distributions were paid in cash and on August 31, 2016, $674,120 were reinvested in the Company’s units for those investors participating in the Company’s unit Distribution Reinvestment Plan. Some or all of the Company’s distributions have been and may continue to be paid from sources other than cash flow from operations, such as capital contributions from the Sponsor, cash resulting from a waiver or deferral of fees, and/or proceeds from this offering.

 

C. Update to the Section Titled “Suitability Standards”

The following sentence of the “Suitability Standards” of the Prospectus is hereby deleted in its entirety:

“No subscription for Class C units will be accepted from the residents of the state of Kentucky.”


D. Update to the Section Titled “Business”

 

1. The fifth sentence in the second paragraph of the “Business—Our Advisor” section of the Prospectus is deleted in its entirety and replaced with the following:

“Additionally, Ms. Nelund acts as an Independent Trustee of the Victory Funds, a mutual fund complex with more than $32.9 billion in Assets Under Management (“AUM”).”

 

2. The following information updates and supplements the “Business—Investments—Overview” section of the Prospectus to provide certain information regarding the Company’s investment portfolio as of August 31, 2016:

Investments

Since the Company commenced operations and through August 31, 2016, the Company has funded $398 million in aggregate investments, including $25 million in temporary investments. Of the aggregate investment amount, the Company has received $184.7 million in full aggregate transaction repayments from existing and exited trade finance, term loan, and temporary investment facilities. Of the aggregate transaction repayment amount, approximately $87.6 million represents transactions of trade finance, term loan, and temporary investment facilities that are closed and no longer part of the Company’s portfolio.

As of August 31, 2016 the Company had the following investments:

 

Description    Sector    Country    Investment
Type
   Maturity1    Interest
Rate2
    Total Loan
Commitment3
    

Total

Amount
Outstanding4

 

Agriculture Distributor5

   Farm-Product
Raw Materials
   Argentina    Trade
Finance
   9/30/2016      9.00   $ 15,000,000       $ 15,000,000   

Agricultural Products
Exporter II6

   Farm-Product
Raw Materials
   Singapore    Trade
Finance
   1/6/2017      11.50   $ 10,000,000       $ 10,000,000   

Beef Exporter7

   Meat Products    Argentina    Trade
Finance
   12/31/2016      11.50   $ 9,000,000       $ 9,000,000   

Chia Seed Exporter8

   Field Crops,
Except Cash
Grains
   Chile    Trade
Finance
   12/11/2016      10.90   $ 2,500,000       $ 1,857,288   

Clean Diesel Distributor9

   Bulk Fuel
Stations and
Terminals
   Peru    Term
Loan
   8/1/2019      11.50   $ 15,000,000       $ 15,000,000   

Consumer Goods Distributor10

   Groceries and
Related Products
   Namibia    Trade
Finance
   10/21/2016      12.00   $ 2,000,000       $ 750,000   

Dairy Co-Operative11

   Dairy Products    Argentina    Trade
Finance
   7/29/2016      10.67   $ 6,000,000       $ 6,000,000   

Diaper Manufacturer

   Converted Paper
and Paperboard
Products
   Peru    Term
Loan
   7/5/2017      14.02 %12    $ 4,500,000       $ 3,700,000   

Electronics Assembler13

   Communications
Equipment
   South
Africa
   Trade
Finance
   12/27/2016      13.00   $ 11,000,000       $ 4,499,783   

Farm Supplies Distributor14

   Miscellaneous
Non-Durable
Goods
   Zambia    Trade
Finance
   5/3/2016      12.43   $ 10,000,000       $ 5,078,526   

Fish Processor & Exporter15

   Commercial
Fishing
   Ecuador    Trade
Finance
   6/19/2016      9.00   $ 2,000,000       $ 297,638   

Fruit & Nut Distributor

   Groceries and
Related Products
   South
Africa
   Trade
Finance
   5/22/201516      12.00   $ 1,250,000       $ 652,420   

Hospitality Service Provider17

   Hotels and
Motels
   Cabo
Verde
   Term
Loan
   8/21/2021      13.50   $ 17,000,000       $ 17,000,000   

Integrated Steel Producer18

   Steel Works,
Blast Furnaces,
and Rolling and
Finishing Mills
   Zambia    Trade
Finance
   8/7/2017      13.00   $ 6,000,000       $ 6,000,000   

International Development Logistics Provider19

   Lumber and
Other
Construction
Materials
   Italy    Trade
Finance
   10/12/2016      8.50   $ 5,000,000       $ 1,435,976   


Description    Sector    Country      Investment
Type
     Maturity1      Interest
Rate2
    Total Loan
Commitment3
    

Total

Amount
Outstanding4

 

IT Service Provider20

   Computer
Programming
and Data
Processing
     Brazil        
 
Term
Loan
  
  
     10/31/2019         13.50   $ 14,000,000       $ 11,057,027   

Machinery and Equipment Provider21

   Machinery,
Equipment,
and Supplies
    
 
United
Kingdom
  
  
    
 
Trade
Finance
  
  
     11/13/2016         12.00   $ 1,000,000       $ 833,546   

Marine Logistics Provider22

   Services
Incidental to
Water
Transportation
     Nigeria        
 
Term
Loan
  
  
     9/16/2020         15.11   $ 16,050,000       $ 13,505,067   

Meat Processor II23

   Meat Products     
 
South
Africa
  
  
    
 
Trade
Finance
  
  
     3/17/2017         14.50   $ 2,800,000       $ 939,826   

Metals Trader24

   Metals and
Minerals,
Except
Petroleum
    
 
United
Kingdom
  
  
    
 
Trade
Finance
  
  
     11/2/2016         9.45   $ 4,000,000       $ 3,853,428   

Mine Remediation Company25

   Metal Mining
Services
    
 
South
Africa
  
  
    
 
Trade
Finance
  
  
     8/15/2016         17.50   $ 2,500,000       $ 2,276,003   

Oilseed Distributor26

   Fats and Oils      Argentina        
 
Trade
Finance
  
  
     12/15/2016         8.75   $ 6,000,000       $ 6,000,000   

Power Producer27

   Electric
Services
     Ghana        
 
Trade
Finance
  
  
     3/10/2017         11.50   $ 11,500,000       $ 11,500,000   

Railway Equipment Provider28

   Rental of
Railroad Cars
    
 
South
Africa
  
  
    
 
Term
Loan
  
  
     1/31/2020         12.00   $ 5,000,000       $ 4,570,619   

Scrap Metal Recycler

   Secondary
Nonferrous
Metals
     Morocco        
 
Trade
Finance
  
  
     7/17/2017         11.00 %29    $ 8,500,000       $ 3,800,000   

Sesame Seed Exporter30

   Farm-Product
Raw Materials
     Guatemala        
 
Trade
Finance
  
  
     3/31/2016         12.00   $ 2,000,000       $ 1,000,000   

Shrimp Exporter31

   Fresh or
Frozen
Packaged Fish
     Ecuador        
 
Trade
Finance
  
  
     6/6/2017         9.25   $ 3,000,000       $ 1,709,452   

Sugar Producer32

   Field Crops,
Except Cash
Grains
     Brazil        
 
Term
Loan
  
  
     5/15/2017         17.43   $ 3,000,000       $ 3,000,000   

Tin Producer33

   Primary
Nonferrous
Metals
     Indonesia        
 
Term
Loan
  
  
     6/30/2020         12.00   $ 3,000,000       $ 3,000,000   

Vanilla Exporter34

   Groceries and
Related
Products
     Mauritius        
 
Trade
Finance
  
  
     5/2/2017         10.99   $ 7,500,000       $ 7,201,800   

Investment Portfolio Total

              $ 206,100,000       $ 170,518,399   

Temporary Investments35

 

Description    Sector    Country      Investment
Type
     Maturity      Interest
Rate
    Total Loan
Commitment
     Total
Amount
Outstanding
 

Agricultural Products Exporter II

   Farm-Product
Raw Materials
     Singapore        
 
Bridge
Loan
  
  
     5/21/2016         11.67   $ 5,000,000       $ 5,000,000   

Financial Services Provider II36

   Miscellaneous
Business Credit
Institutions
     Mauritius        
 
Promissory
Note
  
  
     10/16/2016         11.50   $ 20,000,000       $ 20,000,000   

Temporary Investments Total

              $ 25,000,000       $ 25,000,000   

Investment Portfolio and Temporary Investments Totals

  

           $ 231,100,000       $ 195,518,399   

 

1 The Company’s trade finance borrowers may be granted flexibility with respect to repayment relative to the stated maturity date to accommodate specific contracts and/or business cycle characteristics. This flexibility in each case is agreed upon between the Company and the sub-advisor and between the sub-advisor and the borrower.
2 Interest rates are as of August 31, 2016 and, where applicable, are weighted averages amongst multiple transactions. Interest rates include contractual rates and accrued fees where applicable.


3 The total loan commitment represents the maximum amount that can be borrowed under the agreement. The actual amount drawn on the loan by the borrower may change over time. Loan commitments are subject to availability of funds and do not represent a contractual obligation to provide funds to a borrower.
4 The total amount outstanding represents the actual amount borrowed under the loan as of August 31, 2016. In some instances where there is a $0 balance, the borrower may have paid back the original amount borrowed under a trade finance facility and under an agreement, may borrow again.
5 The impact objectives for the Agriculture Distributor are job creation, wage increase, and agricultural productivity.
6 As of August 31, 2016, the Company, together with its sub-advisor, were working with the Agriculture Products Exporter to finalize its impact data submission to the Company.
7 The impact objectives for the Beef Exporter are job creation, wage increase, and agricultural productivity.
8 The impact objectives for the Chia Seed Exporter are agricultural productivity, job creation, and health improvement.
9 On August 2, 2016, the Company funded $15,000,000 to the Clean Diesel Distributor as part of a new $15,000,000 senior secured three-year term loan facility. With an interest rate of 11.50% and maturity date of August 1, 2019, the transaction is secured by the borrower’s fixed assets. It is anticipated that the Company’s financing will strengthen the borrower’s competitive positioning in Peru as a leading provider of primarily high quality ultra-low sulfur diesel products—the cleanest-burning diesel available in the Peruvian market—to the country’s growing transport, industrial and manufacturing sectors. The impact objectives for the Clean Diesel Distributor are access to energy and job creation.
10 The impact objective for the Consumer Goods Distributor is job creation.
11 The impact objectives for the Dairy Co-Operative are job creation and wage increase.
12 The interest rate includes 2.50% of deferred interest. The impact objectives for the Diaper Manufacturer are job creation and health improvement.
13 Between August 5 and August 29, 2016, the Company funded four transactions totaling $1,070,300 as part of an existing $11,000,000 senior secured trade finance facility with the Electronics Assembler. With a fixed interest rate of 13.00%, all four transactions are set to mature between December 3 and December 27, 2016 and are secured by the stock that is delivered to the company’s warehouse. The impact objective for the Electronics Assembler is job creation.
14 The Company’s trade finance facility with the Farm Supplies Distributor serves to finance the shipment of farm supplies to a parastatal organization of the Government of Zambia and is secured by receivables. The delay in repayment is due to slow payment of the receivables by the Government of Zambia. The Company has determined that there is sufficient collateral, including an insurance policy should the Farm Supplies Distributor not pay, to cover the entire balance due from borrower. The impact objective for the Farm Supplies Distributor is job creation.
15 The impact objectives for the Fish Processor and Exporter are job creation, wage increase, and agricultural productivity.
16  As of March 31, 2016, the Company, together with its sub-advisor, had agreed to further extend the principal maturity date to facilitate the strategic sale of the Fruit & Nut Distributor, which closed in June 2016. On June 30, 2016, the Company placed the Fruit & Nut Distributor on non-accrual status effective February 1, 2016 and is in the process of restructuring the loan. The Fruit & Nut Distributor continues to make small payments made against the balance that is due. The impact objective for the Fruit & Nut Distributor is job creation.
17  The impact objectives for the Hospitality Service Provider are job creation and capacity-building.
18 On August 17, 2016, the Company funded $2,000,000 to the Integrated Steel Producer as part of an existing senior secured $6,000,000 trade finance facility. With an interest rate of 13.00% and maturity date of August 7, 2017, the transaction is secured by specific inventory, receivables, and property. The borrower anticipates that the Company’s financing will continue to support its growth objectives, which include an expanding labor force and ongoing programs that contribute to greater equality and empowerment in the Zambian labor force. The impact objectives for the Integrated Steel Producer are job creation and equality and empowerment.
19 The interest rate is a variable rate of 8.50% plus six month Euribor (if positive). The impact objectives for the International Development Logistics Provider are access to new markets and job creation.
20 On August 31, 2016, the Company funded $4,700,000 as part of an existing senior secured $14,000,000 five-year term loan facility with the IT Service Provider. With a fixed rate of 13.50%, the transaction is set to mature on October 31, 2019 and is secured by service contracts and receivables. The borrower anticipates that the Company’s financing will enable the company to continuing pursuing its long-term growth objectives and support job creation. The impact objective for the IT Service Provider is job creation.
21 On August 2 and August 26 2016, the Company funded $558,135.27 and $294,814, respectively, as part of a new $1,000,000 senior secured trade finance facility with the Machinery and Equipment Provider. With an interest rate of 12.00%, both transactions are secured by receivables and will mature between October 18 and November 13, 2016. The Company financing will enable the trade of equipment and machinery products as well as maintenance services to an industrial client operating in Ghana. It is anticipated that the borrower’s activities in Ghana will improve productivity and competitiveness, through an innovative process that increases ease of access to machinery and equipment in a timely and cost effective manner.
22 The interest rate is a weighted average interest rate between three separate transactions which have a variable interest rate of one month Libor +10.5%. Two of the three transactions, totaling $12.1 million, include an additional 4.68% rate in deferred fixed interest. The impact objectives for the Marine Logistics Provider are capacity-building and job creation.
23 The impact objectives for the Meat Processor are job creation, access to education, and affordable housing.
24  The impact objective for the Metals Trader is productivity & competitiveness improvement.
25 The impact objective for the Mine Remediation Company is job creation.
26 The impact objectives for the Oilseed Distributor are job creation, wage increase, and agricultural productivity.
27 The impact objective for the Power Producer is access to energy.
28 The impact objective for the Railway Equipment Provider is access to new markets.


29 The interest rate is a variable rate of one month Libor +10.50%. The impact objectives for the Scrap Metal Recycler are job creation, access to new markets, productivity & competitiveness improvement, and access to new products.
30 During 2016, the Sesame Seed Exporter lost a major customer, which resulted in a slowdown in business, affecting its ability to repay the amount due under the participation. However, the Sesame Seed Exporter has been able to secure new customers to replace the lost order(s), which will enable the Sesame Seed Exporter to start making payments to the Company. The Company has determined that there is sufficient collateral to support the repayment of this facility. The Sesame Seed Exporter began making interest payments in July 2016. The impact objectives for the Sesame Seed Exporter are agricultural productivity and capacity-building.
31 The impact objectives for the Shrimp Exporter are job creation and wage increase.
32 On August 27, 2015, the Company was informed that the Sugar Producer had filed for judicial recuperation with the local court in Brazil. On March 31, 2016, the Company placed the Sugar Producer on non-accrual status effective August 27, 2015. On June 14, 2016, the Company reached an agreement with the Sugar Producer on a repayment plan. The details of this plan are currently being ratified and documented but includes the full repayment of all principal and interest that is due. The impact objectives for the Sugar Producer are capacity-building and wage increase.
33 The impact objectives for the Tin Producer are job creation and capacity-building.
34 On August 4, 2016, the Company funded $4,951,800 to the Vanilla Exporter as part of an existing $7,500,000 senior secured trade finance facility. With an interest rate of one month Libor +11.00%, the transaction is set to mature on May 2, 2017 and is secured by inventory and receivables. The impact objectives for the Vanilla Exporter are access to new markets and job creation.
35 Temporary investments are defined as short-term investments that are not trade finance or term loan transactions that generally expire within one year, are intended to generate a higher yield than would be realized on cash and may be unsecured positions. The temporary investments that are unsecured positions may present a higher level of risk.
36 On August 17, 2016, the Company funded $5,000,000 to the Financial Services Provider to support a strategic temporary investment. At an interest rate of 10.00%, the transaction is set to mature within 60 days of funding. The promissory note from the Mauritian Financial Services Provider is an unsecured position and therefore may present a higher risk profile.

As of August 31, 2016 the Company had exited the following investments:

 

Description    Sector    Country    Investment
Type
   Transaction
Date
   Transaction
Amount
    

Payoff

Date

   Internal
Rate of
Return
(“IRR”)1
 

Agricultural Products Exporter I2

   Farm-Product
Raw Materials
   Singapore    Trade
Finance
   4/23/2015    $ 10,000,000       2/29/2016      11.85

Agricultural Supplies Distributor I3

   Miscellaneous
Non-Durable
Goods
   South
Africa
   Trade
Finance
   10/15/2014    $ 15,202,091       8/14/2015      13.11

Agricultural Supplies Distributor II3

   Miscellaneous
Non-Durable
Goods
   South
Africa
   Trade
Finance
   10/06/2015    $ 8,563,423       6/1/2016      10.76

Candle Distributor3

   Miscellaneous
Manufacturing
Industries
   South
Africa
   Trade
Finance
   9/2/2014    $ 1,400,000       9/16/2015      14.27

Cement Distributor3

   Cement,
Hydraulic
   Kenya    Trade
Finance
   9/23/2014    $ 12,000,000       10/15/2015      15.29

Construction Materials Distributor3

   Hardware,
Plumbing, and
Heating
Equipment
   South
Africa
   Trade
Finance
   10/9/2014    $ 838,118       4/1/2016      13.00

Electronics Retailer4

   Radio,
Television,
Consumer
Electronics,
and Music
Stores
   Indonesia    Term
Loan
   7/26/2013    $ 5,000,000       6/17/2014      19.59

Farm Supplies Wholesaler5

   Miscellaneous
Non-Durable
Goods
   South
Africa
   Trade
Finance
   5/28/2015    $ 2,250,000       1/19/2016      13.14

Fertilizer Distributor3

   Agricultural
Chemicals
   Zambia    Trade
Finance
   7/17/2014    $ 3,000,000       11/4/2014      12.65

Food Processor3

   Groceries and
Related
Products
   Peru    Term
Loan
   3/25/2014    $ 576,000       11/28/2014      14.01

Frozen Seafood Exporter6

   Groceries and
Related
Products
   Ecuador    Trade
Finance
   6/17/2013    $ 240,484       5/14/2014      13.49


Description    Sector    Country    Investment
Type
   Transaction
Date
     Transaction
Amount
    

Payoff

Date

     Internal
Rate of
Return
(“IRR”)1
 

Industrial Materials Distributor3

   Mineral and
Ores
   South
Africa
   Trade
Finance
     11/20/2014       $ 4,030,000         12/15/2015         13.64

Insulated Wire Manufacturer6

   Rolling,
Drawing, and
Extruding of
Nonferrous
Metals
   Peru    Trade
Finance
     5/2/2014       $ 1,991,000         12/2/2014         8.43

International Tuna Exporter6

   Groceries and
Related
Products
   Ecuador    Trade
Finance
     7/17/2013       $ 1,000,000         10/9/2013         13.58

Meat Processor I7

   Meat
Products
   South
Africa
   Trade
Finance
     7/7/2014       $ 2,950,000         4/1/2016         14.08

Meat Producer2

   Meat
Products
   South
Africa
   Trade
Finance
     11/27/2015       $ 1,500,000         2/3/2016         14.83

Rice & Bean Importer3

   Groceries and
Related
Products
   South
Africa
   Trade
Finance
     7/7/2014       $ 1,000,000         8/5/2015         12.97

Rice Importer8

   Farm-Product
Raw
Materials
   Kenya    Trade
Finance
     11/6/2015       $ 399,653         5/19/2016         11.50

Rice Producer9

   Cash Grains    Tanzania    Trade
Finance
     1/22/2015       $ 3,900,000         4/1/2016         12.04

Seafood Processing Company6

   Miscellaneous
Food
Preparations
and Kindred
Products
   Ecuador    Trade
Finance
     6/19/2013       $ 496,841         7/1/2013         13.44

Textile Distributor3

   Apparel,
Piece Goods,
and Notions
   South
Africa
   Trade
Finance
     7/25/2014       $ 7,026,515         5/30/2016         15.81

Timber Exporter10

   Sawmills and
Planing Mills
   Chile    Trade
Finance
     7/3/2013       $ 915,000         6/12/2014         10.25

Waste Management Equipment Distributor11

   Machinery,
Equipment,
and Supplies
   South
Africa
   Trade
Finance
     2/13/2015       $ 310,752         5/15/2015         20.19

Investment Portfolio Total

  

   $ 84,589,877         

Temporary Investments12

 

Description    Sector    Country    Investment
Type
   Transaction
Date
   Transaction
Amount
    

Payoff

Date

   Internal
Rate of
Return
(“IRR”)1
 

Financial Services Provider I2

   Miscellaneous
Business
Credit
Institutions
   Mauritius    Promissory
Note
   9/23/2014    $ 3,000,000       11/17/2014      15.94

Temporary Investments Total

   $ 3,000,000      

Investment Portfolio and Temporary Investments Total

   $ 87,589,877      

 

1 Given that the loan has been paid off, this investment is no longer part of the Company’s portfolio. The internal rate of return is defined as the gross average annual return earned through the life of an investment. The internal rate of return was calculated by our Advisor (unaudited) as the investment (loan advance) was made and cash was received (principal, interest and fees).
2 Impact data was not tracked for this investment. The Company does not track impact data for trade finance transactions that meet standard underwriting guidelines, but generally have the maturity of less than one year and involve borrowers with whom, at the time of funding, the Company does not expect to maintain an ongoing lending relationship or otherwise provide an open loan facility.
3 The impact objective for the Agricultural Supplies Distributor, Candle Distributor, Cement Distributor, Construction Materials Distributor, Fertilizer Distributor, Food Processor, Industrial Materials Distributor, Rice & Bean Importer, and Textile Distributor was job creation.
4 The impact objective for the Electronics Retailer was access to finance.
5 The impact objective for the Farm Supplies Wholesaler was agricultural productivity.


6 The impact objectives for the Frozen Seafood Exporter, Insulated Wire Manufacturer, International Tuna Exporter, and Seafood Processing Company were job creation and wage increase.
7 The impact objectives for the Meat Processor were job creation, access to education, and affordable housing.
8 The impact objectives for the Rice Importer were food security and job creation.
9 The impact objectives for the Rice Producer were job creation and equality & empowerment.
10 The impact objectives for the Timber Exporter were job creation, wage increase, and capacity-building.
11 The impact objective for the Waste Management Equipment Distributor was equality & empowerment.
12 Temporary investments are defined as short-term investments that are not trade finance or term loan transactions that generally expire within one year, are intended to generate a higher yield than would be realized on cash and may be unsecured positions. The temporary investments that are unsecured positions may present a higher level of risk.

Certain Portfolio Characteristics1

 

Total Assets (est.)

   $ 220,519,000   

Current Loan Commitments

   $ 206,100,000   

Leverage

     0

Weighted Average Portfolio Loan Size

   $ 6,585,808   

Weighted Average Portfolio Duration2

     1.38 years   

Weighted Average Yield on Loans3

     12.01

Average Collateral Coverage Ratio

     1.68x   

USD Denominated

     100

Senior Secured First-Lien

     100

Countries

     18   

Sectors

     24   

Top Five Investments by Percentage4

 

Company Description    Country    % of Total Assets  

Hospitality Service Provider

   Cabo Verde      7.7

Agriculture Distributor

   Argentina      6.8

Clean Diesel Distributor

   Peru      6.8

Marine Logistics Provider

   Nigeria      6.1

Power Producer

   Ghana      5.2


Investment Type5    Developing Economies5    Sector Diversification5

 

LOGO  

 

1 All information provided in this section, with the exception of the Total Asset (est.) figure, does not include the Company’s temporary investment commitments such as the promissory note from the Mauritian Financial Services Provider and the bridge loan from the Singaporean Agricultural Products Exporter comprising 10.2% and 2.6%, respectively, of all the investments currently held by the Company. The promissory note from the Mauritian Financial Services Provider is an unsecured position.
2  Weighted average duration is the average period of time before the loans in the portfolio mature or come due weighted to properly account for the difference of investment sizes within the portfolio. Duration is calculated through the average turn of trade finance transactions and the contracted amortization of term loans.
3  Note, this is not a measure of the Company’s investment performance, nor the Company’s yield, nor is it necessarily indicative of distributions that the Company may provide to investors.
4 This represents all countries/sectors where the Company currently has a loan commitment other than through a temporary investment. Due to the revolving debt nature of trade finance facilities and the timing of funding, it is possible that certain commitments currently have a zero outstanding balance and would therefore not be represented in the country/sector allocation charts, which represents invested capital.
5 The above charts represent investment type, developing economy, and sector diversification as a percentage of the total amount outstanding of the Company’s investments other than the Company’s temporary investments. The Company’s temporary investments include the promissory note from the Mauritian Financial Services Provider and the bridge loan from the Singaporean Agricultural Products Exporter comprising 10.2% and 2.6%, respectively, of all the investments currently held by the Company.


E. Update to the Section Titled “Management of the Company”

The first sentence in the fifth paragraph of Ms. Nelund’s biography in the “Management of the Company—Managers and Executive Officers” section of the Prospectus is deleted in its entirety and replaced with the following:

“In addition to her activities with TriLinc, Ms. Nelund is an Independent Trustee of the Victory Funds, a mutual fund complex with more than $32.9 billion in assets under management.”

 

F. Update to Sections Titled “Prospectus Summary—Unit Repurchase Program” and “Unit Repurchase Program”

 

1. The second sentence of the section titled “Prospectus Summary—Unit Repurchase Program” on page 20 of the Prospectus is deleted in its entirety and replaced with the following clarifying disclosure:

“On June 11, 2014, we commenced a unit repurchase program pursuant to which we conduct quarterly unit repurchases to allow our unitholders, who have held our units for a minimum of one year, to sell their units back to us at a price equal to the then current offering price less the sales fees (consisting of selling commissions and the dealer manager fee) associated with that class of units.”

 

2. The first sentence of the second paragraph of the section titled “Unit Repurchase Program” on page 165 of the Prospectus is deleted in its entirety and replaced with the following clarifying disclosure:

“Beginning June 11, 2014, we commenced a unit repurchase program pursuant to which we conduct quarterly unit repurchases of up to 5% of our weighted average number of outstanding units in any 12-month period to allow our unitholders, who have held our units for a minimum of one year, to sell their units back to us at a price equal to the then current offering price less the sales fees (consisting of selling commissions and the dealer manager fee) associated with that class of units.”

 

G. Update to Sections Titled “Prospectus Summary—Distribution Reinvestment Plan” and “Distribution Reinvestment Plan”

The second sentence of the section titled “Prospectus Summary—Distribution Reinvestment Plan” and the fifth sentence of the section titled “Distribution Reinvestment Plan—Unit Repurchases” on pages 22 and 167 of the Prospectus, respectively, are deleted in their entirety and replaced with the following clarifying disclosure:

“Units under our distribution reinvestment plan are offered at a price equal to the then current offering price per unit less the sales fees (consisting of selling commissions and the dealer manager fee) associated with that class of units in the primary offering.”