30 Jun 2016 07:00
30 June 2016
Premier Technical Services Group PLC
("PTSG" or the "Group")
Increased banking facilities agreed with HSBC PLC ("HSBC")
£10,000,000 Revolving Credit Facility ("RCF") and £4,000,000 overdraft facility
PTSG, the niche specialist services provider, is pleased to announce that it has extended its banking facilities with HSBC.
The RCF has been increased from £7.0m to £10.0m with the expiry date remaining unchanged at September 2020. The overdraft facility has also been increased, from £2.5m to £4.0m.
Both new facilities are provided at the same interest rate and covenant tests as under the previous facility. Drawn amounts under the RCF attract a variable margin over LIBOR, based on the Group's Net Debt/EBITDA ratio. Undrawn amounts attract a commitment fee.
John Foley, Chairman of PTSG, said:
"The increase in our banking facilities reflects the increased scale and profitability of the Group. PTSG's core borrowings are its net cash or overdraft position plus drawings under the RCF, which at 31 December 2015 amounted in total to £6.3m. Deferred consideration and loan notes issued in relation to acquisitions are in the main a function of profitability within the acquired businesses and can usually be settled in cash or in shares at PTSG's option.
At this stage in the Group's development, the Board is comfortable with core borrowings of up to 1.75 times adjusted EBITDA and our increased facilities provide substantial headroom to continue to grow both organically and through carefully selected acquisitions. We are delighted to continue working with HSBC who have been the Group's bankers since its formation in 2007."
For further information, please contact:
PTSG | +44 (0)1977 668 771 |
Paul Teasdale, Chief Executive Officer
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N+1 Singer | +44 (0)207 496 3000 |
Sandy Fraser James White
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Hudson Sandler | +44 (0)207 796 4133 |
Cat Valentine Katie Matthews |
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About PTSG - www.ptsg.co.uk
PTSG is the UK's leading provider of façade access and fall arrest equipment services, lightning protection and electrical testing, high-level cleaning and training solutions.
Operating through four divisions, Access & Safety, Electrical Services, High Level Cleaning and Training Solutions, the Group provides highly-engineered industrial products and quality services and has a substantial presence in a number of niche markets.
PTSG provides a central information service for its businesses and champions the dissemination of key information and best practice. PTSG unites its constituent businesses under one clear identity, which supports smarter working and delivers top class service to its customers.
Headquartered in Castleford, West Yorkshire, the Group employs more than 350 people across 14 UK sites, who service more than 100,000 buildings across the whole of the UK for over 12,000 customers in a wide range of industries.