Growing media specialist William Sinclair has secured a new £25 million overdraft to re-finance its working capital and a further £3 million five-year term loan for property finance, both through Royal Bank of Scotland.
Sinclair will pay interest of around 2% above base rate on the working capital facility, over an minimum initial term of two years. following which it is terminable at six months’ notice by either party. The property loan will cost them 3% above base rate and is repayable by quarterly instalments over five years or out of the proceeds on the settlement due from Natural England over their Bolton Fell peat bog claim.
Shareholders will be asked to approve the deal at a general meeting.
Sinclair CEO Peter Rush said : “The completion of this refinancing, which increases our total borrowing facilities significantly, positions the company to deliver the board’s objectives of greater operational efficiency, scale and growth. We are pleased to have found in RBS a supportive partner for the next phase of William Sinclair’s development.”
