F&C UK Real Est. Inv. Refinancing Update

 
TIDMFCRE 
 
F&C UK REAL ESTATE INVESTMENTS LIMITED 
 
10 NOVEMBER 2015 
 
REFINANCING UPDATE 
 
Further to the announcement on 29 September 2015 by F&C UK Real Estate 
Investments Limited (the "Company") in respect of the proposed refinancing of 
the existing facilities with Lloyds Bank plc, the Board can now confirm that 
the Group has executed a conditional GBP90 million 11 year non-amortising term 
loan facility agreement with Canada Life Investments and a GBP20 million 5 year 
revolving credit facility agreement with Barclays Bank plc (the "New 
Facilities"). 
 
Under the New Facilities the Group will be entitled, subject to the 
satisfaction of certain conditions precedent, to draw down up to GBP110 million 
to finance the repayment of the GBP102 million term loan facility provided by 
Lloyds Bank plc, which was due for repayment in January 2017. There is no early 
repayment penalty in respect of the Existing Facility but the Group will 
terminate its existing interest rate hedging arrangements entered into in 
connection with the Existing Facility and is to be liable for the cost of 
breaking the relevant interest rate swap which was accounted for as a 
liability, net of accrued interest of GBP5.7 million at 30 September 2015.  No 
further swap is required given the fixed nature of the principal loan. 
 
The Board further confirms that it has today fixed the interest rate that will 
be payable over the term of the loan with Canada Life Investments at the all-in 
rate of 3.36 per cent. per annum (including the yield on the relevant UK Gilt) 
and the interest rate that will be payable in respect of the revolving credit 
facility with Barclays Bank plc at the rate of 1.45 per cent. per annum over 3 
month LIBOR. It is the Company's intention that the debt will be drawn down on 
or around 13 November 2015. 
 
All enquiries to: 
 
Ian McBryde 
Scott Macrae 
F&C Investment Business Limited 
 
Tel: [phone] 
 
The Company Secretary 
Northern Trust International Fund Administration Services (Guernsey) Limited 
Trafalgar Court 
Les Banques 
St Peter Port 
Guernsey GY1 3QL 
 
Tel:  [phone] 
 
 
 
END 
 

(END) Dow Jones Newswires

November 10, 2015 02:03 ET (07:03 GMT)