Refinancing of Existing Debt Facilities

RNS Number : 8857A

Van Elle Holdings PLC

02 October 2020

 

Van Elle Holdings plc

("Van Elle", the "Company" or the "Group")

Refinancing of Existing Debt Facilities

Van Elle Holdings plc (AIM: VANL), the UK's largest ground engineering contractor, has entered into an agreement with ABN AMRO Commercial Finance, for up to £11m of asset-based lending facilities ('the Facilities').

The Facilities are provided on a revolving basis over 4 years and are secured by an all assets debenture including first priority charges over the Group's receivables and certain tangible fixed assets. There are no financial covenants associated with the Facilities.

The new Facilities, which shall be undrawn on completion, provide additional balance sheet strength to enable the Group to support growth and provides greater flexibility for future capital expenditure requirements.

The Group's cash position at the end of September was c.£11.5m and the remaining debt under hire purchase agreements is £5.7m. With net funds (excluding IFRS 16 property lease liabilities) of c.£5.8m, the Group is well-positioned to face any short-term market challenges.

As part of the refinancing, the existing overdraft facility with Lloyds Banking Group of £2.5m has been terminated.

Enquiries:

Van Elle Holdings plc	Via Walbrook
Mark Cutler, Chief Executive Officer
Graeme Campbell, Chief Financial Officer
Peel Hunt LLP (Nominated Adviser and corporate broker)	Tel: [phone]
Mike Bell/Ed Allsopp
Walbrook PR Limited	Tel: [phone] or  [e-mail]
Tom Cooper/Nick Rome/Nicholas Johnson	07971 221 972 or 07748 325 236 or 07884 664 686

About Van Elle Holdings plc:

Van Elle Holdings is the UK's largest specialist geotechnical engineering contractor. The Company provides a range of ground engineering techniques and services including - ground investigation, general and specialist piling, rail geotechnical engineering, modular foundations, and ground improvement and stabilisation services.

Van Elle operates through three divisions: general piling, specialist piling and ground engineering; and is focused on three end markets; residential and housing, infrastructure and regional construction - across which the Group has completed more than 20,000 projects over the last 35 years.

General piling provides a range of larger piling and ground engineering solutions for open-site construction projects. Specialist piling provides a range of geotechnical solutions in operationally constrained environments including on-track rail applications. Ground engineering services offers a range of ground investigation and geotechnical services and modular foundation solutions such as Smartfoot®. Van Elle has a market-leading reputation and the UK's largest modern rig fleet of 118 rigs.

Having floated on AIM in 2016 it now has a strong national presence, diversified offering and market-leading brand name.

 

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