Partial redemption of Senior Secured Notes

RNS Number : 4707P

Premier Foods plc

18 February 2021

 

18 February 2021

Premier Foods plc

("Premier Foods" or "the Group")

Continued Strong Trading facilitates further repayment of Senior Secured Floating Rate Notes

The Group is pleased to announce that, due to its continued strong trading performance and cash generation, it will repay a further £30m of its Senior Secured Floating Rate Notes due July 2022 (the "Notes")¹.

Premier Foods has significantly accelerated its Net debt reduction.  Following this redemption, an aggregate of £190m of the Notes will have been repaid during the FY20/21, generating total pro forma interest savings of over £9.5m per annum. The ongoing strong performance further underpins the Group's expectation that its Net debt/EBITDA leverage ratio will fall below 2.0x by the end of this financial year end, 3 April 2021.

Accordingly, the Group has provided a certificate to HSBC Corporate Trustee Company (UK) Limited, as Trustee, and HSBC Bank plc, as paying agent, for the Group's Notes due July 2022, notifying its intention to redeem £30m of the £50m outstanding. This is in line with requirements of the Indenture of the Notes² and following this redemption, there will be just £20m outstanding of the Notes.

Further to the certificate, the Group hereby confirms that, pursuant to the terms of the Indenture², £30 million of the Notes will be redeemed at par, plus accrued and unpaid interest up to, but excluding, the redemption date³. The redemption date is 31 March 2021 and the record date is 30 March 2021.

~ Ends ~

For further information, please contact:

Premier Foods plc  [phone]

Duncan Leggett, Chief Financial Officer

Richard Godden, Director of Investor Relations

Headland:  

Ed Young  [phone]

Francesca Tuckett                                                                                                                                [phone]

Notes:

1.  The ISIN for the Notes are: 144A: XS1619820597 and Reg S: XS1619820324.

2.  Section 3.07 (c) (Optional redemption) of the Indenture relating to the Notes.

3. Accrued unpaid interest amounts are calculated as 5.0% plus 3 month LIBOR for the period to the redemption date.  There are no Additional Amounts (as defined in the Indenture) payable.

 

END

 

 

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