RNS Number : 6355X
Luminar Group Holdings PLC
09 December 2010
Luminar Group Holdings plc
Revised Bank Facility
Luminar Group Holdings plc ("Luminar" or "the Group") announces that it has signed a revised three year facility of £99m (the "New Facility") with its banking group comprising Lloyds TSB, Barclays Capital and The Royal Bank of Scotland (the "Banking Group").
The New Facility comprises two term loans of £44m and £40m repayable over three years and a revolving credit facility (RCF) of £15m. The weighted average cash interest rate for the New Facility is 7.8%.
To align its hedging position with the size of the New Facility, the Group has terminated a portion of its current LIBOR swaps arrangements. Following this cancellation, the Group will remain 100% hedged. Costs of about £8m relating to termination of the LIBOR swaps, restructuring and professional fees will be charged as an exceptional item in this financial year.
The main financial covenants applying to the New Facility are that leverage (the ratio of Net Debt to EBITDA) should not be more than 3.8 times, reducing to 2.0 times over the life of the New Facility, and that the fixed interest cover is not less than 1.35 times rising to 1.75 times.
The Group has also granted the lending banks equity warrants over 5% of its existing issued share capital at a subscription price per warrant share equal to the current nominal value of 25 pence per share, exercisable at any time up to the seventh anniversary of the agreement
Philip Bowcock, Finance Director, said:
"We are pleased to have the continued support of our Banking Group and to have concluded these negotiations. With the New Facility in place and many new operational initiatives recently undertaken Luminar has a firmer foundation from which to progress."
9 December 2010
Enquiries:
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Luminar Group Holdings plc
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Tel: 01908 544100
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Simon Douglas, Chief Executive
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Philip Bowcock, Finance Director
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College Hill
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Tel: 020 7457 2020
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Matthew Smallwood
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Jamie Ramsay
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