Extension of the Fund's RCF

Literacy Capital PLC

03 August 2026

 

The information contained in this announcement is restricted and is not for publication, release or distribution in the United States of America, any member state of the European Economic Area, Canada, Australia, Japan or the Republic of South Africa.

03 August 2026

Literacy Capital plc

Improvement of terms and two-year extension to Revolving Credit Facility

Literacy Capital plc ("Literacy", "BOOK" or the "Company"), a listed investment trust primarily focused on investing directly into private businesses based in the UK, today announces that it has agreed an extension of its Revolving Credit Facility ("RCF") with its existing lender, OakNorth Bank Plc ("OakNorth").

The existing facility, which was due to expire in September 2027, had a Credit approved limit of £50 million, of which £40 million was committed and a further £10 million uncommitted. The RCF has been extended by a further two years, taking its expiry to September 2029, and the committed element of the facility has been increased from £40 million to £50 million, giving greater financial headroom.

As part of the extension, there has been a reduction in margin percentage that BOOK is charged. The covenant regarding the minimum number of assets that need to be held has also been reduced from "needing to exceed" ten to eight, providing more flexibility to Literacy. All other material terms relating to the RCF remain unchanged, including the 20% loan-to-value covenant.

As at today, net borrowings amount to £15.7 million. The Company's Borrowing Policy permits "indebtedness of up to a maximum of 20 per cent of its Net Asset Value". However, gearing is expected to remain conservative throughout the term of the facility, and the Company's loan-to-value is not expected to exceed 10 per cent of net assets for a sustained period.

Richard Pindar, CEO of BOOK's Investment Manager, commented: "We are pleased to agree an extension of BOOK's facility with OakNorth on improved terms. The increased committed capacity, reduced margin and additional flexibility further strengthen Literacy's financial position and support our long-term investment activity.

We look forward to continuing our partnership with OakNorth and are grateful for their ongoing support".

-ENDS-

For further information, please contact:

Literacy Capital plc / Book Asset Management LLP

Richard Pindar / Aasha Tailor

[phone]

MHP Group

Reg Hoare / Ollie Hoare / Matthew Taylor

[e-mail]

[phone]

Deutsche Numis

Hugh Jonathan / George Shiel

[phone]

About Literacy Capital plc

Literacy Capital (BOOK.L) is a closed-end investment company that was co-founded by Paul Pindar and Richard Pindar in 2017 with £54m of capital. Literacy listed on the London Stock Exchange in June 2021, before gaining Investment Trust status on 1 April 2022. The Company focuses on opportunities to invest for the long-term in growing private businesses where a clear route to creating additional value can be seen with its support.

It also has a unique charitable objective, to donate 0.5% of annual NAV to charities focused on improving UK literacy in children. £13.5m has been donated or reserved for donation to charities since the trust's creation in 2017. For more information, please visit our website: www.literacycapital.com.

A copy of this announcement will be available on the Company's website at www.literacycapital.com.

The information contained in this announcement regarding the Company's investments has been provided by the relevant underlying portfolio company and has not been independently verified by the Company. The information contained herein is unaudited.

This announcement is for information purposes only and is not an offer to invest. All investments are subject to risk.  Past performance is no guarantee of future returns.  Prospective investors are advised to seek expert legal, financial, tax and other professional advice before making any investment decision.  The value of investments may fluctuate.  Results achieved in the past are no guarantee of future results. Neither the content of the Company's website, nor the content on any website accessible from hyperlinks on its website for any other website, is incorporated into, or forms part of, this announcement nor, unless previously published by means of a recognised information service, should any such content be relied upon in reaching a decision as to whether or not to acquire, continue to hold, or dispose of, securities in the Company.

LEI: 2549006P3DFN5HLFGR54

 

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