28th Mar 2014 07:00
CANCELLATION OF INTEREST RATE HEDGING INSTRUMENT
McKay Securities PLC, the Real Estate Investment Trust specialising in South East and London office and industrial property, has negotiated the early cancellation of a long dated interest rate hedging instrument with a notional value of £25 million. This has been undertaken following the reduced level of debt as a result of the Group's successful capital raise last month.
Having received notice from the counter party bank that a credit break would be exercised in 2016, the Group has taken the opportunity to reduce its hedging instruments as of 26th March to swaps with a notional value of £80 million.
The cost of cancelling the swap was £5.7 million and the annualised interest saving will be in the region of £0.9 million at current rates.
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Date: 28th March 2014
For further information please contact:
McKay Securities PLC |
Simon Perkins, Managing Director |
Giles Salmon, Finance Director |
0118 950 2333 |
|
Broker Profile |
Simon Courtenay |
Tamsin Shephard |
020 7448 3244 |
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