LONDON (Alliance News) - Private equity investor Electra Private Equity PLC on Tuesday said it has decided to cancel its existing GBP275.0 million multi-currency revolving credit facility, after reviewing its cash position.
Electra said the credit facility is currently undrawn and, therefore, no repayment is required as a result of the cancellation.
As at March 31, Electra had gross cash balances of GBP321.0 million and net cash was approximately GBP185.0 million, after giving effect to pending investing activities, the interim dividend and the redemption of the zero dividend preference shares that mature in August, the company said.
Against this cash position, Electra said it believes the revolving credit facility is "surplus" to its requirements.
Cancellation of the revolving credit facility is expected to result in annual savings of around GBP3.3 mullion in commitment and arrangement fees, Electra added.
By Hannah Boland; hannahboland@alliancenews.com; @Hannaheboland
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