Porta Communications PLC New Bank Facility (4773H)
08 June 2017 - 4:00PM
UK Regulatory
TIDMPTCM
RNS Number : 4773H
Porta Communications PLC
08 June 2017
8 June 2017
Porta Communications Plc
("Porta" or "the Company")
New Bank Facility
Porta Communications Plc (AIM: PTCM), the international
communications and marketing group, is pleased to announce that it
has agreed terms with Clydesdale Bank Plc ("Clydesdale") for a new
five year GBP3.3 million revolving credit facility ("RCF"), subject
to the execution of a formal RCF agreement.
As part of the strategy to further strengthen the balance sheet,
as reported in the Company's final results on 11 May 2017, the
purpose of the RCF is to replace the Company's existing GBP3m
confidential invoice discounting ("CID") facility in the UK, to
provide a working capital facility for the Company and to support
the ongoing strategy of recruiting senior practitioners. The RCF
will result in an increase of the Company's available credit
facilities of up to GBP2.3m over the existing CID facility where
available credit fluctuated between GBP1m and GBP1.5m over the last
12 months.
The RCF includes a margin of 3.85% over LIBOR which is a
reduction in margin of 135bps when compared to the Company's CID
facility, and contains standard representations, undertakings and
events of default for a facility of this nature and the Company
will also be subject to a set of customary financial covenants.
The RCF agreement, once executed, will contain certain
conditions precedent to be satisfied prior to the Company being
able to draw down on the RCF, including, inter alia, entering into
an intercreditor agreement with the Company's existing loan
providers and providing Clydesdale with a copy of the redemption
statement for the existing CID facility. The Company has now given
notice in relation to the existing CID facility and requested the
redemption statement.
A further announcement will be made when the conditions have
been satisfied and the facility agreement has been formally
implemented.
-- ends --
The information contained within this announcement is deemed to
constitute inside information as stipulated under the Market Abuse
Regulations (EU) No. 596/2014. Upon the publication of this
announcement, this inside information is now considered to be in
the public domain.
Enquiries
Porta Communications Plc
Steffan Williams, CEO
Rhydian Bankes, CFO
www.portacomms.com
+44 (0) 20 7680 6500
Grant Thornton UK LLP (Nominated Adviser)
Philip Secrett
Samantha Harrison
Daniel Bush
+44 (0) 207 383 5100
N+1 Singer (Broker)
James Maxwell
Lauren Kettle
+44 (0) 20 7496 3000
Newgate Communications (Media Enquiries)
Bob Huxford
Adam Lloyd
James Ash
+44 (0) 20 7680 6500
Notes to Editors:
Porta is a fully integrated communications and marketing group
with specialisms including financial, corporate and consumer public
relations, public affairs and research and multi-capability
marketing, brand and creative communications.
The Group has offices in Abu Dhabi, Beijing, Brisbane, Bristol,
Canberra, Cardiff, Edinburgh, Hong Kong, London, Manchester,
Melbourne, Singapore and Sydney.
The brands and companies it owns are: Newgate Communications,
Redleaf Communications, Publicasity, 2112 Communications and Summit
Marketing Services.
Porta Communications' corporate website is -
www.portacomms.com
This information is provided by RNS
The company news service from the London Stock Exchange
END
MSCFMGGVNNGGNZM
(END) Dow Jones Newswires
June 08, 2017 02:00 ET (06:00 GMT)
Porta Communications (LSE:PTCM)
Historical Stock Chart
From Apr 2024 to May 2024
Porta Communications (LSE:PTCM)
Historical Stock Chart
From May 2023 to May 2024