11th Nov 2020 09:58
(Alliance News) - Informa PLC said Wednesday its Covid-19 "financing action plan" is now complete, which the firm said provides it with "long-term stability and security".
Shares in the FTSE 100-listed publisher and events company were down 2.9% in London on Wednesday morning at 554.00 pence each.
Informa said the plan means it will have no debt maturities until 2023, no financial covenants, and available liquidity of more than GBP1 billion.
"Informa continues to build stability and security through 2021 and beyond, reflecting the combination of continuing strength in digital subscriptions, the progressive re-opening of physical events in Mainland China and other parts of Asia, and growth across our virtual events and media brands, alongside our ongoing cost and cash management programmes," Chief Executive Stephen Carter said.
The completion of the plan, Informa said, combined with its ongoing cost management programme, which is on track to deliver GBP600 million of run-rate savings by the end of 2020, will ensure it is cash positive from January 2021 - even assuming no physical events activity other than shows within Mainland China and outdoor events.
The nine-month plan, Informa noted, finished following an issue of GBP150 million follow-on sterling bonds in October, maturing in 2026, and cancelling its GBP750 million surplus credit facility in November, which coincided with a USD1.1 billion private placement loan notes in the US.
By Paul McGowan; [email protected]
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