LONDON (Alliance News) - Johnston Press PLC on Monday said it has agreed to amend its super senior revolving credit facility, after launching a review with its lenders earlier this year to ensure the facility continues to meet the needs of the business.
Under the new terms, effective immediately, Johnston Press said it will be provided with a GBP10.0 million revolving credit facility, with such amount reducing over time until June 30, 2018.
Johnston Press said the facility will be tested against revised leverage ratio covenants with an obligation to prepay and cancel the facility with 75% of net cash proceeds from any disposals that it receives on or prior to December 31 and the entire net cash proceeds of any subsequent disposals thereafter. The facility remains undrawn.
The group signalled to its announcement on Friday that it was selling 13 media titles in East Anglia and the East Midlands to rival regional newspaper publisher Iliffe Media Ltd.
This comes after Johnston Press in October said it had agreed to change the terms of the credit facility to make total commitments under the facility GBP12.5 million.
Shares in Johnston Press were up 8.5% at 14.38 pence on Monday morning.
By Hannah Boland; hannahboland@alliancenews.com; @Hannaheboland
Copyright 2016 Alliance News Limited. All Rights Reserved.
