27th Mar 2015 09:21
LONDON (Alliance News) - Picton Property Income Ltd on Friday said it has secured a new three-year GBP26 million revolving credit facility.
The company said the facility will provide it more optionality when its 2016 zero dividend preference (ZDP) shares mature in 2016. Should the company decide to use the revolving credit facility, it would significantly reduce the overall cost of debt.
The facility has been provided by Santander Corporate & Commercial Banking.
"While providing an immediate short term, lower cost solution for the ZDP repayment due in 2016, the company now has an extended window until 2018 in which to reconsider the appropriate gearing structure, to suit prevailing market conditions and our corporate strategy," said Picton Chairman Nicholas Thompson.
Shares in Picton were flat at 70.50 pence on Friday.
By Sam Unsted; [email protected]; @SamUAtAlliance
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