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3 Sep 2010 14:30
Journey Group plc
Journey Group plc refinances with a £4.5million, three-year facility
Journey Group Plc ("Journey" or the "Group"), a leading provider of in-flight products, catering and media services to the travel and airline industry today announces a refinancing of its £3.25million borrowing facilities, due to expire on 31 August 2010.
The new facility totalling £4.5 million has been agreed with a new investor with a term of three years. Under the arrangement, the new investor has been issued with warrants of over up to 35,185,825 new ordinary shares in Journey (approximately 10% of the Group's fully diluted share capital) exercisable at a price of 1p per share on or before 2 September 2020.
Stephen Yapp, Chairman said, 'I am delighted that we have secured longer term financing for the Group for the first time in several years. This marks the end of a long restructuring exercise and builds on the £5.0 million cash injection from the Alpha-Airfayre Limited joint venture deal that we secured in November 2009.
Our ability to raise increased and more stable facilities in a difficult lending environment is a testament to the current state of the Group's business and its future prospects. These new facilities will enable management to look ahead with increased confidence and will provide much needed cash resources to invest in developing our business.'
The Group's half year results will be announced in late September 2010.
Journey Group plc contacts:
Stephen Yapp
+44 (0)208 606 2000
info@journeygroup.plc.uk
Carl Fry
+44 (0)208 606 2000
info@journeygroup.plc.uk
KBC Peel Hunt Ltd (Nominated Adviser & Broker)
+44 (0)20 7418 8900
David Anderson / Daniel Harris
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