11th Mar 2016 07:44
LONDON (Alliance News) - Health, education and care services provider Cambian Group PLC on Friday issued a profit warning for 2015 and said it has agreed a temporary waiver on financial covenants with its lenders.
The company said it was now likely that, given an ongoing finalisation of costs and the completion of its audit for the year to the end of December, its results will be slightly weaker than previous guidance.
Due to this, the group will be in breach of financial covenants on its lending facilities and has agreed to a temporary waiver with its banks to allow time to continue talks on restructuring its financing arrangements.
Cambian said it hopes to conclude these talks before April 26, when it is expected to publish its 2015 results, and the waiver will expire on that day.
"Agreeing this waiver with its lending banks will allow Cambian and the lending banks to continue their constructive dialogue with a view to putting Cambian's finances on a more stable footing for the future," said Christopher Kemball, Cambian's chairman.
By Sam Unsted; [email protected]; @SamUAtAlliance
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