New $25m Credit Facilities

RNS Number : 3541L

Gama Aviation PLC

30 December 2022

 

Date: 30^th December 2022

The information contained within this announcement is deemed to constitute inside information as stipulated under Article 7 of the Market Abuse Regulations (EU) No. 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018.

Gama Aviation Plc (AIM: GMAA)
("Gama Aviation" or the "Company" or "Group")

New $25m Credit Facilities

Gama Aviation is today pleased to announce that it has secured a new $25m credit facility.

New credit Facilities

The new credit facilities have been secured by the Group's wholly owned US operating subsidiary, Gama Aviation (ENG) Inc. ('GAMI'), from a US lender.  GAMI provides aircraft maintenance services across the US, the world's largest private aviation market.

The $25m facilities are for a term of 4 years and comprise a combination of a Revolving Credit Facility and up to $6.5m of Term Loans.  A total of $20m is available immediately, with a further $5m available contingent on future trading performance.  The facilities are subject to customary financial covenants.

$10.4m of the facility has been drawn down to repay GAMI's intercompany loan from the Company.  The balance of the facility is available to fund the investment capital expenditure and other working capital requirements of the US business in the execution of the Group's organic growth strategy in the US.

Maturing Credit Facilities

The Group's £20m Term Loan matures on 31st January 2023 ('the Maturity Date') and the $10.4m proceeds from this new credit facility that flow to the Company will be applied to its repayment.  The Company continues to progress negotiations with other lenders to seek to secure the balance of funds needed to repay this Term Loan by the Maturity Date

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Gama Aviation Plc   [phone]
Marwan Khalek, CEO 

Michael Williamson, CFO

Camarco   [phone]

Ginny Pulbrook

Geoffrey Pelham-Lane

WH Ireland  [phone]

James Joyce

Sarah Mather

Gama Aviation - Notes to Editors

Founded in 1983 with the simple purpose of providing aviation services that equip its customers with decisive advantage, Gama Aviation Plc (LSE AIM: GMAA) is a highly valued global partner to blue chip corporations, government agencies, healthcare trusts and private individuals.

The Group has three global divisions: Business Aviation (Aircraft Management, Charter, FBO & Maintenance), Special Mission (Air Ambulance & Rescue, National Security & Policing, Infrastructure & Survey, Energy & Offshore); and Technology & Outsourcing (Flight Operations, FBO, CAM software, Flight Planning, CAM & ARC services)

More details can be found at:  http://www.gamaaviation.com/

 

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