Doc re. standstill termination

Consort Healthcare (Tameside) PLC

25 March 2024

 

RNS REGARDING TERMINATION OF STANDSTILL AND USE OF SENIOR DEBT SERVICE RESERVE ACCOUNT

Consort Healthcare (Tameside) plc

Termination of Standstills and use of Senior Debt Service Reserve Account

London, 25 March 2024 - Consort Healthcare (Tameside) plc (the ""Company"), a project company for the Private Finance Initiative (PFI) concession contract to design, construct, finance, maintain and manage the lifecycle costs of new hospital facilities in Tameside for the Tameside & Glossop Integrated Care NHS Foundation Trust (the "Trust") provides an update regarding the standstill arrangements referred to in the Company's previous announcement on 24 January 2024 (the "Standstill Arrangements") and the use of certain amounts from its senior debt service reserve account to make certain debt service payments.

Despite ongoing discussions between the Company and the Trust, the Standstill Arrangements have terminated without further standstill arrangements being put in place. As a result, the Trust has notified the Company that it intends to start levying the deductions and other amounts which had previously been subject to the Standstill Arrangements from the unitary charge payable by the Trust to the Company under the relevant project agreement. 

Additionally, in order to ensure that it can meet the debt service payments due in March 2024 in respect of the £93,300,000 1.9810 per cent. index-linked guaranteed secured bonds issued by it (the "Bonds"), the Company will be accessing certain of the amounts standing to the senior debt service reserve account.

The Company continues to discuss the way forward with its stakeholders. The Company will provide further updates to the market in due course.

THIS ANNOUNCEMENT CONTAINS INFORMATION THAT QUALIFIES OR MAY HAVE QUALIFIED AS INSIDE INFORMATION WITHIN THE MEANING OF ARTICLE 7 OF THE MARKET ABUSE REGULATION (EU NO. 596/2014), AS IT FORMS PART OF THE UNITED KINGDOM DOMESTIC LAW BY VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018, AS AMENDED.

 

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