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| Date | 9 May 2023 |
| Time | 07:00:14 |
| Category | Miscellaneous |
| ID | 6419Y |
9 May 2023
Renold plc
("Renold", the "Company" or the "Group")
Extension of banking facilities
Renold, a leading international supplier of industrial chains and related power transmission products, is pleased to announce it has reach agreement for the extension of its core banking facilities that were due to mature in April 2024.
The new, £85.0m multi-currency revolving credit facility, will be increased from the previous level of £61.5m. Additionally there is a £20.0m accordion option which will allow the Company to access additional funding in support of its acquisition programme as part of the Group's STEP2 strategy.
The new facilities will be provided by our existing banks HSBC, Allied Irish Bank (GB) and Citibank with the addition of Santander and are initially for a three year term, to May 2026, but contain an option to extend the term for a further two years.
The principal facility term, the Net Debt / EBITDA covenant, will be extended from the previous level of 2.5 times EBITDA to 3.0 times EBITDA, with other key terms remaining unchanged.
Commenting, Robert Purcell, Chief Executive of Renold, said:
"We are delighted to announce we have reached agreement to extend our banking facilities, which will provide a stable financing platform to support the continued strategic development of the Group over the next few years.
"As part of the facility extension, we welcome a new lending partner to the syndicate which complements Renold's extensive geographic reach and can help support our operations across the world."
ENQUIRIES:
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Renold plc |
IFC Advisory Limited |
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Robert Purcell, Chief Executive |
Tim Metcalfe |
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Jim Haughey, Group Finance Director |
Graham Herring |
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0161 498 4500 |
020 3934 6630 |
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Nominated Adviser and Joint Broker |
Joint Broker |
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Peel Hunt LLP |
FinnCap Limited |
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Mike Bell |
Ed Frisby (Corporate Finance) |
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Ed Allsopp |
Andrew Burdis / Harriet Ward (ECM) |
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020 7418 8900
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020 7220 0500 |
NOTES FOR EDITORS
Renold is a global leader in the manufacture of industrial chains and also manufactures a range of torque transmission products which are sold throughout the world to a broad range of original equipment manufacturers and distributors. The Company has a well-deserved reputation for quality that is recognised worldwide. Its products are used in a wide variety of industries including manufacturing, transportation, energy, steel and mining.
Further information about Renold can be found on the website at: www.renold.com