Helical Bar plc has signed a new £100 million (120 mln.) Revolving Credit Facility with The Royal Bank of Scotland ("RBS"). This five year facility refinances £82.7 million of existing debt, including £10.5 mln. maturing in 2012, releasing cash of £4.2 mln. and leaving £13.1 mln. available to fund future acquisitions.
Assets included in the facility include the shopping centers at Corby Town Centre, Sutton-in-Ashfield and Basildon and offices at Fordham and Chiswick.
The terms of this facility allow drawdowns of up to 65% of value, with ratcheted margins from 2.50% to 3.25% dependent upon prevailing loan to value ratios. The Company has also taken out a three year swap at 1.20% contributing to an effective interest rate, including margin, of circa 3.90% at the current utilisation level.
Commenting, Nigel McNair Scott, Helical Bar's Finance Director, said: "The signing of this new facility with RBS clearly demonstrates Helical's ability to enhance the medium term financing of the Company, even against the backdrop of a highly illiquid lending market. We are also pleased to have added to our financial firepower to seek out attractively priced acquisitions that offer the potential to create capital and income growth."