17 Dec 2015 11:15
17 December 2015
Northbridge Industrial Services Plc
("Northbridge" or the "Group")
Agreement of revised bank covenants and appointment of CFO
Northbridge, the industrial services and rental company, is pleased to announce that it has agreed revised covenants with its banks, Royal Bank of Scotland Plc and KBC Bank NV, both of which have been supportive during this process. Testing of the covenants for the quarter ending 31 December 2015 has been waived and quarterly testing of the new covenants will commence in respect of the period ending 31 March 2016 and will continue to the end of the loan period in May 2019. The new covenants take into account the Group's previously announced current trading circumstances and continuing positive cash flow.
The Board is also pleased to announce the appointment of Iwan Phillips to the non-Board position of Chief Financial Officer (CFO) with effect from 1st January 2016. Iwan joined the Northbridge Group in 2010 from BDO and will continue as financial controller and company secretary.
Current trading has not altered since Northbridge's last update on 30 September 2015, with the oil and gas industry remaining depressed, however the Group is pleased to note that the disposal programme is now complete and all expected proceeds have been received. This largely concludes the re-organisation, rationalisation and cost cutting measures that began earlier in 2015. Our pre-close statement, which we expect to release as usual during the week commencing 1 February 2016, will include an update on both current trading and the underlying market conditions affecting the industries that we serve.
For further information
Northbridge Industrial Services plc 01283 531645
Eric Hook, Chief Executive Officer
Westhouse Securities Limited (Nominated Adviser and Broker) 020 7601 6100
Robert Finlay/Antonio Bossi /Henry Willcocks
Buchanan Communications 020 7466 5000
Charles Ryland / Stephanie Watson
About Northbridge:
Northbridge Industrial Services plc hires and sells specialist industrial equipment. With offices or agents in the UK, USA, Dubai, Belgium, Germany, France, Australia, New Zealand, Singapore, China, Brazil and South Korea, Northbridge has a global customer base. This includes utility companies, the oil and gas sector, shipping, banking, mining, construction and the public sector. The product range includes loadbanks, transformers, and oil tools. Northbridge was admitted to AIM in 2006 since when it has recorded increased earnings and dividends based on providing a high level of service, responsiveness and flexibility to customers. It has grown by the acquisition of companies in the UK, Dubai, Australia, Belgium and Singapore and through investing further in those acquired companies to make them more successful. Northbridge continues to seek suitable businesses for acquisition across the world.