Lok'nStore Group PLC £40m Banking Facility Extension (5113V)

TIDMLOK

RNS Number : 5113V

Lok'nStore Group PLC

31 January 2017

Lok'nStore Group plc ("Lok'nStore"or "the Group")

Lok'nStore extends existing GBP40 million Banking Facility to six years

Lok'nStore plc, the fast growing AIM listed self-storage company, is pleased to announce the agreement of a two year extension on its existing banking facility with Royal Bank of Scotland plc. The GBP40 million five year revolving credit facility which was executed last year included an extension option which has been implemented. The facility which was due to expire in January 2021, will now run until January 2023 providing funding for more landmark site acquisitions and working capital.

The GBP40 million five year revolving credit facility set the interest rate margin at the London Inter-Bank Offer Rate (LIBOR) plus 1.40%-1.65% based on a loan to value covenant test. This rate is 1.40% currently and the all in debt cost on GBP28.8 million drawn averaged 1.7% in the last five months.

Bank covenants and margin are unaffected by this extension of term.

Andrew Jacobs CEO of Lok'nStore Group said;

"This extension of our existing banking facility with its extremely competitive terms and flexible structure underlines the financial strength of Lok'nStore. Following the sale of 1,975,000 shares held in treasury in November 2016 our pro forma loan to value ratio is down to 14.9% and pro forma cash position is GBP11.4 million. With our modest gearing, valuable property assets and strong and growing cash flow the Group will continue to execute its current growth strategy.

Lok'nStore will announce its preliminary interim results for the 6 months to January 2017 on Monday 24 April 2017.

Enquiries:

 
 
  Lok'nStore 
  Andrew Jacobs, CEO 
  Ray Davies, Finance Director   01252 521 010 
finnCap Ltd 
 Julian Blunt, Giles Rolls, 
 Corporate Finance 
 Alice Lane, Corporate Broking   020 7220 0500 
Camarco 
 Bill Clegg / Tom Huddart        0203 757 4980 
 

Notes for Editors

Lok'nStore is one of the leading companies in the fast growing UK self-storage market, currently operating 26 highly visible, distinctive orange livery self-storage centres in prominent locations in South-East England and two serviced document storage sites. Lok'nStore is substantially into a programme of opening four new stores in Gillingham, Wellingborough, Broadstairs and Hemel Hempstead which will all open in the Autumn.

This information is provided by RNS - The company news service from the London Stock Exchange.

This information is provided by RNS

The company news service from the London Stock Exchange

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January 31, 2017 02:00 ET (07:00 GMT)