New Debt Facility

RNS Number : 6967W

Conygar Investment Company PLC(The)

28 April 2016

 

For immediate release

28 April 2016

THE CONYGAR INVESTMENT COMPANY PLC

NEW DEBT FACILITY

The Conygar Investment Company PLC ("Conygar" or the "Company"), the property investment and development group, announces that it has completed a new five year £48.1 million loan with Lloyds Bank PLC, Jersey Branch ("Lloyds"), secured on twenty-five group properties.  The loan has an interest cost of 1.9% margin plus Bank of England Base Rate, so currently a total cost of 2.4% per annum.

The loan replaces our two previous facilities with The Royal Bank of Scotland PLC ("RBS"), which were secured upon this portfolio of assets. One facility, which had an interest rate of 3 month LIBOR plus 3.5% margin and an outstanding balance of £6.9 million, expired this month. The second loan was due to expire in February 2018 and had an interest cost of 3 month LIBOR plus a margin of 3% and a balance of £19 million. Both loans have been repaid and there were no early repayment charges.

£26.1 million of the new £48.1 million loan has been used to redeem the RBS loans referred to above and the remaining funds, totalling more than £21 million after transaction costs, are released to enable the Company to pursue other investment and development opportunities.

Robert Ware, Chief Executive of Conygar commented:

"We are pleased to secure the refinancing of this portfolio for the medium term. We believe that this financing deal is a very competitive one and we look forward to working with Lloyds in the coming years."

Stephen Ogborn, Head of Commercial Banking, Lloyds Jersey added:

"We are delighted to have completed this transaction and to be starting a new relationship with this strong management team. We look forward to supporting Conygar in the coming years."

Enquiries:

The Conygar Investment Company PLC

Robert Ware/Ross McCaskill: 020 7258 8670

Liberum Capital Limited (Nominated Adviser and Broker)

Richard Bootle: 020 3100 2222

Temple Bar Advisory (Public Relations)

Alex Child-Villiers: 07795 425580

This information is provided by RNS

The company news service from the London Stock Exchange

 

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