(Alliance News) - Lords Group Trading PLC on Thursday said it has completed the refinancing of its exiting GBP70 million lending facilities.
Lords Group is a London-based distributor of building, plumbing, heating and DIY goods.
The company said its GBP70 million lending facilities with HSBC Holdings PLC have been cancelled and repaid. This included a GBP50 million revolving credit facility and a GBP20 million receivables financing facility.
It noted that the repayment was funded by drawings under a new GBP95 million facility provided by HSBC, NatWest Group PLC and BNP Paribas SA. This consists of a GBP70 million RCF and a GBP25 million RFF, each with a three-year term.
Lords Group said the new facilities are on "improved commercial terms" compared to its previous facilities and are expected to result in material interest cost savings for the company over the three-year term.
It added that the new facilities support the company's medium term growth ambitions, including anticipated funding for acquisitions, as well as meeting working capital requirements.
Chief Financial Officer & Chief Operating Officer Chris Day said: "We are delighted to complete this refinancing exercise. The new and improved facilities support our strategic ambitions and we are very pleased to have three partner banks supporting the group on its corporate journey."
Grant Thornton LLP were financial advisors to the company on the refinancing. DAC Beachcroft LLP were borrower counsel and Pinsent Masons LLP were lender counsel.
Shares in Lords Group were up 1.8% to 69.19 pence each in London on Thursday afternoon.
By Sophie Rose, Alliance News reporter
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Lords Grp Tr (LORD)
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