Statement re Refinancing

8 Sep 2006 07:00

Leo Capital Plc08 September 2006 8 September 2006 Leo Capital plc ("Leo Capital"/"the Company") REFINANCING OF ENERGY CRANES INTERNATIONAL Leo Capital is pleased to announce that Energy Cranes International, in whichthe Company has a 90% shareholding, has successfully completed a refinancingagreement with the Royal Bank of Scotland ("RBS"). This agreement consolidatesEnergy Cranes' borrowing arrangements under a single £29 million facility, ofwhich initially £22 million will be drawn. As a result of this refinancing, Energy Cranes has repaid loans from Leo Capitalof £3.6 million, including accrued interest, and preference dividends of £1.4million. These amounts will increase Leo Capital's cash balances and will beused for general corporate purposes. The Company's shareholding in ECI remainsunchanged. "The new banking facility allows the Energy Cranes board to make importantstrategic decisions which will equip the group for future growth," said EnergyCranes' Chief Executive Officer, John Jordan. "We will continue our investmentto expand our skilled workforce, upgrade our North Sea service hub in Aberdeenand expand our US manufacturing and service base in Houston." Robert Rayne, Chief Executive Officer of Leo Capital, said: "Since its formationin 2003 Energy Cranes has experienced strong growth and is now operating on 6continents. For 2006, revenues are expected to be in excess of £90 million withEBITDA of more than £8 million. The new arrangements agreed with RBS reflect thesuccess of the business over the last three years and its resulting financialstrength. Going forward the international offshore oil and gas markets continueto look robust." For further information please contact: Leo Capital plc Brunswick Robert Rayne, CEO Simon SporborgTony Sweet, CFO Anisha PatelTel: 020 7935 3555 Tel: 020 7404 5959 Energy Cranes International Limited John Jordan, CEO Adrian Bannister, CFO Tel: 01224 704868 Notes to Editors Leo Capital plc is an independent investment company whose shares are traded onAIM. It was formed to receive the demerged investment division of LondonMerchant Securities plc. The investment portfolio comprises investments in boththe US and UK, with a spread of early stage and second round technologyinvestments, development capital and mature company buy-outs. Website www.leocapitalplc.com Energy Cranes International Limited is the world's leading offshore crane andlifting services contractor supporting the oil and gas industry. With 30 yearsexperience in offshore crane management and engineering through its SparrowsOffshore arm, augmented by 25 years experience in pedestal crane manufacture andmaintenance through its American Aero and Titan Cranes brands, it is uniquelyequipped to deliver global lifting solutions. Energy Cranes employs 1,200 peopleat 16 locations around the world. Website www.energycranes.com This information is provided by RNS The company news service from the London Stock Exchange