Grainger reduces pricing of bank facility, extends term by four years

By Wendy Van Sickle

Columbus, Ohio, Aug. 7 – Grainger plc refinanced its £580 million syndicated bank facility, reducing the pricing and extending the maturity, according to a Friday company press release.

The new facility has a margin of 170 basis points, a reduction of 50 bps.

Pricing will reduce further if the company reduces its level of loan to value, according to the release.

The new maturity of August 2020 was extended from July 2016.

The facility represents about 44% of Grainger’s facilities, which total £1,322,000,000. The company’s net debt was at £1,144,000,000 at July 31 following significant investments into regional market rented assets.

“We will continue to review all other sources to ensure that we have the most competitive cost of debt to pursue our strategy of accelerating our push into the private rented sector,” Grainger finance director Mark Greenwood said in the release.

Grainger is a Newcastle upon Tyne, England-based residential property management company.

© 2015 Prospect News.
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