Premier Technical increases revolving credit facility with HSBC
AIM-listed Premier Technical has increased its revolving credit facility with HSBC to £12m from £10m, with an unchanged expiry date of September 2020, while its overdraft facility has been upped to £8m from £4m.
FTSE AIM All-Share
735.07
16:59 08/10/24
Premier Technical Services Group
210.00p
16:09 31/07/19
Support Services
11,237.46
17:09 08/10/24
Both new facilities are provided at the same interest rate and covenant tests as under the previous facility. Drawn amounts under the revolving credit facility attract a variable margin over LIBOR, based on the group's net debt to EBITDA ratio, while undrawn amounts attract a commitment fee.
Chairman John Foley said: "The acquisition of Brooke Edgley…which was announced on 4 July 2017 involved an initial cash consideration of £14m which was entirely financed from the proceeds of a £15m placing of new ordinary shares to investors.
"However, this acquisition substantially increases the scale of the group and so we are pleased to announce increased facilities with HSBC who have been the group's bankers since our formation in 2007. These facilities provide us with sufficient levels of headroom to continue to grow both organically and through carefully selected acquisitions."
The shares were untraded on Monday.