Metalrax, the niche supplier of specialist engineering and consumer durable products, announces that it has successfully completed its bank facility refinancing on improved terms and ahead of the maturity of its existing facilities in August 2012.
The Group has agreed facilities up to £14m for 4 years with The Royal Bank of Scotland. The new facilities will result in reduced borrowing costs saving the Group c.£300,000 per annum (based on current levels of indebtedness). The facilities, being mainly provided by the Bank's asset based lending team, are secured against the properties, the debtor ledger, plant and machinery as well as inventory.
Commenting on the announcement, Metalrax Group Chief Executive, Andrew Richardson said: "This is a very important milestone for the Group. The new facilities have been agreed ahead of schedule and on competitive terms. Completion of this refinancing provides a stable platform in challenging times with unpredictable economic conditions. The Group's priorities are to achieve growth whilst continuing to reduce borrowings.