Triggering of HSBC Accordion Facility
1 October 2020
Inland Homes plc
("Inland Homes", "Group" or "Company")
Triggering of HSBC Accordion Facility and update on gearing level
The Group is pleased to confirm that it has triggered the accordion part of the revolving credit facility ("RCF") with HSBC of £20 million. This takes the facility available for day-to-day use by the Group from a current maximum of £45 million, to a new maximum of £65 million. Proceeds from sales of relevant sites are used to repay the facility with additional drawings made to fund housebuilding activity which provides the Group with flexibility and balance across its housebuilding activities.
The Group entered into the facility in March 2019 and has used the facility to deliver quality homes across the South East of England. The facility is currently supporting four housebuilding schemes and the Group intends to bring in two further housebuilding schemes of consented land into the facility in the first six-months of the financial year to 30 September 2021.
As a wider update on gearing, the transactions announced by the Group during the second six months of the financial year have further reduced the gearing level in line with the strategic aim set by the Group for the financial year to 30 September 2020.
Stephen Wicks, Chief Executive, commented:
"We are very pleased to have triggered the accordion element of our revolving credit facility from HSBC for our expanding house building activity. We continue to deliver new homes of outstanding quality across the South and South East of England and we look forward to using this increased facility to deliver many more much needed homes in the coming financial year for our customers.
The Group continues to structure its project delivery via a mixture of debt and equity relevant to the prevailing market conditions and has made significant progress on reducing the gearing of the Group during the financial year in line with its key strategic aim."
Inland Homes plc:
Tel: +44 (0) 1494 762450
Stephen Wicks, Chief Executive
Nishith Malde, Finance Director
Gary Skinner, Managing Director
Panmure Gordon (UK) Limited
Tel: +44 (0) 20 7886 2500
Tel: +44 (0) 20 7 457 2020
Notes to Editors:
Incorporated in the UK in 2005, Inland Homes plc is an AIM listed specialist housebuilder and brownfield developer, dedicated to achieving excellence in sustainability and design.
Inland Homes acquires brownfield land in the South and South-East of England principally for residentially led development schemes. The business then enhances the land value by obtaining planning permission, before building open market and affordable homes or selling surplus consented land to other developers to generate cash.
The Company is committed to extensive public and community consultation in order to ensure that, where possible, local community needs and objectives are met.
Inland's aim is to create sustainable communities and homes which set a benchmark for all future developments in the South and South East of England. The Company is always looking for brownfield sites without planning permission for future development.
For further information, please visit the Inland Homes website at www.inlandhomes.co.uk.
Hugg Homes - www.hugghomes.co.uk
Rosewood Housing - www.rosewoodhousing.co.uk