13th Oct 2014 07:45
LONDON (Alliance News) - John Laing Environmental Assets Group Ltd Monday said it has inked a deal for a three-year revolving credit facility of GBP50 million with HSBC and NIBC, as the group looks to make acquisitions of environmental infrastructure projects to add to its current portfolio of wind, solar, waste and waste water processing assets and to cover working capital requirements.
In a statement, JLEN said the facility gives it a flexible source of funding outside of equity raising. It said borrowings under the facility will be repaid through cash received from its investment assets and future equity raisings.
A revolving credit facility is similar to a line of credit, but is usually on a larger scale.
"The securing of this facility is in line with our intentions set out at the time of the initial public offering. It is a useful tool to allow the fund to act swiftly to make bids for suitable assets in the active secondary environmental infrastructure market, and it will support the fund's growth over the next three years," Chairman Richard Morse said in a statement.
JLEN shares were Monday quoted flat at 104.00 pence per share.
By Samuel Agini; [email protected]; @samuelagini
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