8th Dec 2015 13:21
Market Tech Holdings Limited
("Market Tech," the "Company" or the "Group")
New £900 million secured debt facility agreement
The board of Market Tech (MKT: AIM) is pleased to announce that it has agreed a £900 million secured debt facility with an initial term of 10 years (the "Facility") arranged by AIG Asset Management (Europe) Limited.
The Facility comprises a committed £300 million term loan which will be drawn down immediately, with a further £100 million to be drawn down in May 2016 (together the "Initial Facility"). A further £50 million is available for draw down, subject to certain conditions, until December 2017 (the "Additional Facility").
The Initial Facility has an opening margin of 1% per annum above the 10 year GBP swap rate, fixed at 1.88%, with the margin increasing to: 1.5% per annum after 24 months; 1.75% per annum after 30 months; and 2.2% per annum after 36 months for the remainder of the term. The average margin over the term of the agreement in respect of the Initial Facility is approximately 1.9% per annum.
The drawdown of the initial £300m will set the Group's loan to value ratio at approx. 35%1.
The Facility has two future drawdown pools of £150 million and £300 million respectively, subject to lender consent. These future drawdown pools and the Additional Facility will have a margin of 2% per annum above the 10 year GBP swap rate fixed at the date of utilisation.
The Group's existing debt obligations with Nomura International Plc and Bank of Cyprus totalling circa. £202 million will be repaid from the Facility. In addition, the undrawn working capital loan facility of £60 million from majority shareholder, Citwax Investments Limited, will, as a result of the Facility, no longer be available to the Company.
Market Tech was advised throughout the refinancing process by UBS Investment Bank, which acted as lead adviser.
Charles Butler, CEO of Market Tech Holdings commented:
"I am very pleased to announce this landmark agreement for Market Tech allowing flexible access to senior secured debt at competitive interest rates.
The Facility provides the Company with stable long term funding, enabling us to drive shareholder value by delivering on our medium and long term acquisition and development strategy."
- Ends -
Enquiries
Market Tech Charles Butler, Chief Executive Officer Andrew Bull, Chief Financial Officer c/o Bell Pottinger
| +44 (0) 20 3772 2500 |
Shore Capital - Nomad and Joint Broker Dru Danford Toby Gibbs
| +44 (0) 20 7408 4090 |
Canaccord Genuity Limited - Joint Broker Bruce Garrow Chris Connors Mark Whitmore
| +44 (0) 20 7523 8000 |
Bell Pottinger David Rydell Olly Scott James Newman David Bass Anna Legge | +44 (0) 20 3772 2500 |
About Market Tech
Market Tech combines the iconic Camden Market real estate assets with digital technology to deliver a living, working, retail and leisure environment. The Company owns approximately 14 acres of real estate assets in Camden, including the Stables Market; Union Street Market, (also known as Buck Street Market); Camden Lock Market; and Hawley Wharf, (formerly known as Camden Lock Village). It also owns separate real estate assets on Camden High Street; Kentish Town Road; properties on Jamestown Road, (including the Camden Wharf Building); The Interchange Building on Oval Road, Utopia Village in Primrose Hill, 1-11 Hawley Crescent and 49 Chalk Farm Road.
The Company owns three e-commerce businesses, enhancing its online platform. These are Stucco Media, an e-commerce marketing platform, Glispa, a Berlin-based mobile marketing business and Fiver, a B2C online fashion retailer.
www.market-tech.com
1Excluding current and post draw cash balances
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