PHD.L Regulatory News (PHD)

28 April 2020

Proactis Holdings PLC

Reset of bank facilities

Proactis Holdings PLC ("Proactis", the "Group" or the "Company"), the business spend management solution provider is pleased to announce that it has agreed a fundamental reset of its banking facilities (the "Facility") with HSBC UK, its long standing debt provider, reflecting the Company's much improved financial position and growth strategy and the continued support of HSBC UK.

As previously described, the Group has made encouraging progress in line with its strategy during the six-month period ended 31 January 2020 which will be presented in detail within the Group's interim results announcement scheduled for 29 April 2020.

The Board considers that the recent progress made has created a solid commercial and operational platform for the Group to realise its market potential. Further progress will be underpinned by the amended Facility which represents a fundamental foundation of the Group's business plan for the mid-term. Key amendments to the Facility are as follows:

- A rescheduling of the amortisation profile of the Facility thereby providing an additional £3m capital in the short-term to support the Group's growth strategy;

- Revised covenants with material headroom to the current business plan; and

- A conditional option to extend the expiry of the current agreement from 31 July 2022 to 31 July 2023.

Tim Sykes, CEO of Proactis, commented:

"We appreciate the continued support of our long-term partner, HSBC UK, and look forward to strengthening our relationship further. The reset of the basis of our facilities with HSBC UK is a fundamental foundation for the Group's mid-term business plan and it gives us great confidence that this business is fully funded to deliver our current growth plan for the foreseeable future."

Adam Kelly, Deputy Regional Director of HSBC UK, commented:

"The Group has demonstrated some encouraging progress in line with its strategy over recent months and we are pleased to be able to continue our support to the business in these circumstances."

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Notes to Editors:

Proactis creates, sells and maintains software and services which enable organisations to streamline, control and monitor all indirect expenditure. Its solutions are used in over 1,100 buying organisations internationally from the commercial, public and not-for-profit sectors.