Panther Securities — Completion of Refinancing

(LSE:PNS) Panther Securities completed a refinancing that provides a £55 million term loan and an £8 million revolving credit facility. The new facilities have a four-year term with a one-year extension option. An uncommitted £12 million accordion facility is also included in the refinancing package. The facilities are secured on 97 properties that have been independently valued at approximately £163 million. The initial borrowing margin was reduced from 2.30% to 1.95% above three-month SONIA, with a loan-to-value (LTV) ratchet to a maximum of 2.20%. This margin reduction is estimated to result in an annual interest saving of approximately £192,500 on the £55 million term loan. Scheduled amortisation has been reduced from £500,000 to £200,000 per annum, providing an estimated £300,000 cash flow benefit. Panther Securities currently holds approximately £10 million in cash and short-term deposits. The £8 million revolving credit facility remains undrawn. Existing interest rate swaps cover £60 million of debt, with £35 million fixed at 3.40% and £25 million fixed at 2.01% until 2031. The refinancing is secured against a portfolio of 97 properties. The independently assessed value of these properties is approximately £163 million. The refinancing package includes an uncommitted accordion facility of £12 million. The reduction in scheduled amortisation is expected to provide a cash flow benefit of approximately £300,000 per year. The interest rate swaps in place provide fixed rates on £60 million of the company's debt until 2031.