£1.35 billion merger financing completed

Ladbrokes plc

9 October 2015

£1.35 BILLION MERGER FINANCING COMPLETED

Ladbrokes plc ("Ladbrokes") announces that it has signed a £1.35 billion facility with a syndicate of relationship banks to provide committed financing for its proposed merger, subject to completion, with Coral announced on 24 July 2015.

The new facility has three tranches and will be available for drawing subject to completion of the merger with Coral.

Tranche A - £600m Term Facility - October 2016 and, subject to extension options, January 2018 

Tranche B - £400m Revolving Credit Facility - October 2020

Tranche C - £350m Revolving Credit Facility - June 2019

Ladbrokes existing £55m December 2016 bank facilities were cancelled in September 2015 and its remaining standalone £350m June 2019 bank facilities will be cancelled as a condition precedent to drawing on the new facility.

The intention is for the £100m September 2022 and the £225m March 2017 Ladbrokes bonds to remain in place following completion of the merger.

As a result of this financing, the Gala Coral debt comprising £315m Senior Secured Note 2018, £275m Secured Note 2019 and £812m Senior Secured Facilities 2018, will not be transferred into the enlarged Ladbrokes Coral group at completion of the merger.

Ian Bull, CFO, commented:

 "I am pleased that our relationship banks have shown strong support in putting in place a significant size facility at similar pricing to our current facilities. We believe that this facility will provide sufficient liquidity to an enlarged Ladbrokes Coral group following the merger."

For further information contact:

Investors

Richard Snow Director Investor Relations 07767 677 429

Media

Donal McCabe Director of External Relations 07795 968 482