4 Jan 2010 07:00
Sportech Plc ("the Group")
Update re Banking Facilities
On 19 November 2009, the Group stated that it was in discussions with its lending bank, Lloyds Banking Group ("LBG").
Sportech is pleased to announce that on 31 December 2009, it entered into an amendment agreement with LBG to revise its banking facilities for the Group on an ongoing basis.
The revised facilities give the Group the flexibility it requires to develop organically as well as providing it with the ability to take advantage of other available business development opportunities.
The principal terms of the revised facilities include:
revised banking facilities of £90.75 million, comprising £87.75 million of senior facility term loans and a £3.0 million working capital facility
as noted in our IMS of 19 November 2009, net debt at 18 November 2009 amounted to £81.5 million
amendment of the maturity date on the senior facility to 30 June 2013 and extension of the maturity date on the working capital facility to 30 December 2010
the key financial covenants of the revised facilities have been adjusted to provide greater headroom until the end of the term
agreement to use part of the revised term loan to finance business development opportunities going forward
the margin over LIBOR in respect of the revised facilities will be 3.5 per cent. per annum until expiry
as part of the amendment agreement, the Company will pay upfront fees of £0.9 million, being equivalent to 1 per cent. of the gross proposed facility limits
Commenting on the amended agreement with LBG, Chief Executive, Ian Penrose said: "We are pleased to have agreed this position with the Lloyds Banking Group, which has been very supportive throughout this process. We now have in place robust facilities, which allow the Group to pursue both organic and development opportunities."
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For further information, please contact:
Sportech PLC
Ian R Penrose, Chief Executive Tel: 020 7268 2400
Bell Pottinger Corporate & Financial Tel: 020 7861 3232
David Rydell / Emma Kent / Rosanne Perry