Updated Debt Facilities

RNS Number : 4511O

Dods Group PLC

01 June 2020

 

1 June 2020

Dods Group plc

 ("Dods" or the "Company")

Updated Debt Facilities

Further to the announcement of 28^th June 2019 and in light of the continued uncertainties from Covid-19, the Company is pleased to confirm that Barclays Bank has agreed to a 9-month capital payment deferral and waiver of all covenants for the remainder of the calendar year.

The Company has a term loan of £3 million, with a coupon of 3.25% over 3-month LIBOR, payable over 5 years. The loan is fully drawn and the Company continues to pay the interest due. Following satisfactory submission of the compliance certificate as at 31^st March 2020, the original capital repayments for 31^st March 2020, 30^th June 2020 and 30^th September 2020 will be rescheduled, with 14 equal quarterly repayments starting from 31^st December 2020. In addition, for the remainder of the calendar year the bank has agreed to waive all covenant compliance.

The Company had already agreed a £2 million revolving credit facility ('RCF') carrying a 3.5% coupon over 3-month LIBOR. This remains undrawn but available. In addition, at any time during the availability period of the term loan or RCF the Company can request an increase in its commitments under the term loan or RCF by a total aggregate amount of not more than £3 million. The increased amount is at Barclays' sole discretion and subject to such conditions precedent as it may determine.

Dods currently is in a net cash position of c. £0.7 million. The Company believes that the 9-month term loan repayment deferral, covenant waiver and increased access to funding, together with its cash reserves, will ensure the business can continue its development plans to enable it to have an exciting future and provide ample working capital for the business going forward.

This announcement is released by Dods Group plc and contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 ("MAR"), and is disclosed in accordance with the Company's obligations under Article 17 of MAR.
 

For the purposes of MAR and Article 2 of Commission Implementing Regulation (EU) 2016/1055, this announcement is being made on behalf of the Company by David Hammond, Executive Chairman.

For further information, please contact: 

Dods Group plc

David Hammond - Executive Chairman                         020 7593 5500

www.dodsgroup.com

Liberum (Nomad and Broker)

Neil Patel      020 3100 2000 

Cameron Duncan

Louis Davies

 

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