16 January 2014
WILLIAM SINCLAIR HOLDINGS PLC("William Sinclair", the "Company" or the "Group")
Refinancing of Borrowing Facilities
William Sinclair, one of the UK's leading suppliers of growing media, is pleased to announce that it has successfully refinanced its seasonal working capital funding through a facility of up to £25 million and will shortly complete a further facility for property finance in the form of a five year term loan of £3 million. These facilities are both provided by the Royal Bank of Scotland Group.
The working capital facility bears interest at approximately 2% above base rate, is subject to certain availability adjustments related to the asset base and seasonality of the Company, and is committed for a minimum initial term of two years, following which it is terminable at six months notice by either party. The property loan bears interest at approximately 3% above base rate, and is expected to be available for drawdown shortly. It is repayable by quarterly instalments over a period of five years or out of the proceeds on the settlement due from Natural England in respect of the Bolton Fell peat bog claim. The facilities are subject to certain conditions subsequent, and carry financial and other covenants.
The full availability of these facilities to the Company is subject to the approval by shareholders in a general meeting of an amendment to the articles of the Company to increase its permitted borrowings. A circular convening a general meeting to consider this matter, amongst others, will be sent to shareholders shortly and a further announcement made at that time.
Commenting on the completion of the refinancing Peter Rush, CEO said :
"The completion of this refinancing, which increases our total borrowing facilities significantly, positions the Company to deliver the Board's objectives of greater operational efficiency, scale and growth. We are pleased to have found in RBS a supportive partner for the next phase of William Sinclair's devel opment."
www.william-sinclair.co.uk
William Sinclair Holdings Plc | Tel: 01522 780223 |
Peter Rush, CEO | Tel 07741 249461 |
Peter Williams, Finance Director | Tel: 07710 982577 |
Mark Way, Corporate Communications | Tel: 07786 116991 |
WH Ireland Limited | |
Andrew Kitchingman | Tel: 0113 394 6600 |
Nick Field | Tel: 0207 220 1666 |
distributed by |