Elixirr secures £45m facility with NatWest

14th Oct 2024 12:40

(Sharecast News) - Global consultancy firm Elixirr International announced on Monday that it has secured a £45m revolving credit facility from NatWest to support its growth strategy, including mergers and acquisitions, while limiting equity dilution.

The AIM-traded firm said the facility, which could be drawn in multiple currencies including sterling and dollars, offered flexibility for its organic and inorganic expansion plans.

It said the facility would carry an interest rate margin of 1.95% to 2.60%, depending on leverage, over either SONIA for sterling or SOFR for dollars.

The facility also included a commitment fee on the undrawn portion, amounting to 35% of the applicable margin.

It has a four-year term, with an option for a one-year extension if mutually agreed, and standard leverage and interest cover covenants.

"We are pleased to have put in place a revolving credit facility with NatWest, which, together with the group's strong cash generation, significantly enhances our ability to deploy capital and accelerate future acquisitions whilst effectively managing equity dilution," said chief financial officer Graham Busby.

At 1217 BST, shares in Elixirr International were up 0.72% at 700p.

Reporting by Josh White for Sharecast.com.