Restructure of borrowing facilities

3 Nov 2008 07:00

Catalyst Media Group Plc

("Catalyst" or "the Company")

Restructure of borrowing facilities

The Board of Catalyst is pleased to announce that it has restructured the borrowing facilities that were in place with regard to its investment in Satellite Information Systems (Holdings) Ltd ("SIS").

The Company has repaid in full the loan outstanding with National Westminster Bank plc ("Natwest") of £4.1 million. Following this repayment Catalyst has entered into a new loan agreement with Natwest for the sum of £3.675 million together with a further revolving facility of £500,000. The terms inter alia provide for payment of interest at 3% over LIBOR and the loan is repayable no later than 31st December 2011. The sum of £3.5 million due to North Atlantic Smaller Companies Investment Trust ("NASCIT") which carried interest at 13.25% p.a. has also been repaid

Total borrowings of the Company have therefore been reduced from £7.6 million to £3.675 million with interest being rolled up until repayment. All dividends receivable from SIS are to be applied to reduce this loan.