The facilities have been arranged with a group of six banks comprising existing syndicate members Barclays Bank plc, HSBC Bank plc, Lloyds Banking Group plc, The Royal Bank of Scotland plc and Yorkshire Bank, who are joined by ING Bank N.V. Each bank has committed an equal amount of funding of £33.3m. These new facilities will replace the Company’s existing funding package, providing working capital and finance for further acquisitions.
Commenting on the announcement, Steve Smith, Chief Financial Officer, said “We are delighted with the appetite shown by our banking partners to continue to support our strategy and are pleased to welcome ING into our banking arrangement. In 2010 we put together facilities with three banks, each committing £25 million, and subsequently expanded the club to five banks with an average commitment of £28 million each.
“The terms of these facilities reflect the banks’ confidence in the Group’s continuing financial progress and strategy.
“The new and enlarged facilities will enable us, in line with our stated strategy, to continue to consolidate the fragmented reseller market place where we see a clear path to generate shareholder value.”