Lending boost for First Derivatives
Global analytics software business First Derivatives has extended its bank facilities of £130m (€148m).
The five-year facilities, which comprise a term loan of £65m and a revolving loan facility of £65m, will refinance the group's existing borrowings and will be partly used to finance the acquisition of the minority shareholding in Kx Systems, due to be made in June this year.
First Derivatives currently has a controlling share in Kx Systems.
First Derivatives CEO Brian Conlon said: "The extended bank facilities provide certainty regarding our funding requirements and the flexibility, should it be required, to act quickly to advance our growth plans."
The term loan and the revolving loan facility will have an interest rate for the first 12 months of Libor plus 2.75pc.
Following this, an interest rate ratchet will apply from Libor plus 2pc to Libor plus 3pc depending on the level of debt relative to earnings.