UK law firms are currently facing a profound structural funding gap, creating a highly compelling opportunity for litigation finance. To successfully prosecute cases, these firms require substantial upfront capital to cover initial case acquisition, essential legal disbursements, and After-the-Event (ATE) insurance. However, they are largely cut off from standard credit facilities. Traditional lenders systematically avoid financing litigation receivables, primarily because mainstream financial institutions are frequently the actual defendants in the consumer actions being brought forward. Despite this lack of traditional financing, the volume of consumer claims remains large and recurring. Specifically, litigation surrounding vehicle Personal Contract Purchase (PCP) agreements represents a uniquely high volume pipeline, creating a sustained demand for litigation financing.

By stepping into this structural funding void, investors can provide essential, short-duration working capital directly to reputable law firms advancing qualifying claims. This investment model utilizes claim-level deployment, ensuring highly granular and diversified exposure rather than concentrated institutional risk. Consequently, investors benefit from attractive, risk-adjusted returns generated systematically through contractual spreads. The sheer scale of this opportunity provides a deep and enduring landscape for deployed capital, with the current UK PCP market presenting an estimated £8 billion+ in total redress liability encompassing more than £14 million+ eligible claims.

The Issuer is presenting, for informational purposes only, a private credit investment opportunity involving the issuance of Digital Loan Notes backed by a diversified portfolio of litigation-related receivables originated within the Horizon Group (as defined below).

The underlying portfolio consists of a highly granular pool of legal claims supported by After-the-Event (“ATE”) bonds and underwritten according to the Horizon Group’s established credit and risk assessment framework. The structure described herein includes a third-party performance bond issued by Talisman Surety & Fidelity Company, Inc. (“Talisman”), pursuant to which investors are named as co-obligees alongside the Issuer, subject to the terms and conditions of such bond. The structure also includes a security trustee representing and acting on behalf of and in the best interests of the investors (the “Security Trustee”), ensuring the protection of their rights and the value of the collateral pursuant to a security trust deed (the “Trust Deed”). In connection with the Trust Deed, the Issuer grants fixed and floating charges on all of the assets of the Issuer which provides a robust mechanism for investors to recover their principal and interest in the event of the Issuer’s default or insolvency, thereby significantly enhancing the credit profile of the Notes.

Proceeds from the issuance of the Digital Loan Notes will be used exclusively to finance eligible litigation claims that meet the underwriting and insurance criteria established for the portfolio, in accordance with the terms described in the applicable offering documentation. Funds allocated through this structure are intended solely for the continued expansion and funding of the insured litigation portfolio and will not be applied to general operational expenses of the Horizon Group, or any affiliated entity. The Issuer’s constitutional documents (Articles of Association) explicitly prohibit the Issuer from incurring any indebtedness other than the Digital Loan Notes and obligations incidental to the Note programme, serving as a key structural feature for bankruptcy-remoteness.

Kairos Litigation Limited has been recently set up as Bankruptcy Remote SPV, owned 50/50 by Ann Marie Bell and Peter Legge. Kairos was specifically established as an SPV for this offering, following the success of the Horizon Legal operation.

Ann-Marie Bell — CEO

Ann-Marie Bell is Director of Horizon Legal Limited and CEO of Kairos Litigation Limited, with 25+ years of experience across UK legal services and regulated financial services. A former solicitor, she secured successful credit card unenforceability wins during the 2008 Waxman litigation before building leadership experience across car finance, payroll lending and ATE lending. She oversees programme governance, operational performance and underwriting standards across the business.

Peter Legge — Director

Peter Legge leads inward investment and business development and supports programme operations. He brings 15 years of experience in regulated financial services, including 12 years as an Independent Financial Adviser (IFA) arranging private client portfolios. He has experience building and scaling advisory platform structures for large client bases, and at Horizon he focuses on institutional engagement, capital formation support and operational alignment for the litigation receivables programme.

The Digital Loan Notes are structured to provide a fixed annual return of 15%, with interest payable monthly and principal repayment anticipated at maturity, subject to the applicable terms. The structure benefits from multiple layers of risk mitigation, including senior all-asset security in favor of the Security Trustee, bankruptcy remoteness at the Issuer’s level, prohibition of incurrence of other indebtedness by the Issuer including a senior all-asset security interest granted in favor of the Security Trustee, structural bankruptcy remoteness achieved at the level of the Issuer, and a prohibition on the Issuer incurring any other indebtedness, ATE bonds at the individual-claim level and a capital coverage instrument designed to protect investors in accordance with its terms.

The Digital Loan Notes represent a debt obligation of the Issuer with repayment dependent on the performance of the underlying insured portfolio, the associated risk-mitigation mechanisms, and the terms governing the issuance. The Notes are tokenized on Canton Network, enabling controlled issuance, permissioned transfers, and standardized recordkeeping for ownership and lifecycle events.