Ireland’s biggest hotel group Dalata said it has refinanced its existing debt facilities and added further liquidity to its capital structure to fund its future growth.
The €600 mln in refinancing consists of €475 mln in bank facilities and an inaugural private placement of €125 mln with institutional debt investors.
The bank facilities are made up of a green term loan facility of €100 mln and a multi-currency revolving credit facility of €375 mln, both expiring in October 2029 with the option of two one-year extensions.
The facilities were arranged with the group’s existing banking syndicate, Allied Irish Banks, Bank of Ireland, Barclays Bank and HSBC Bank, and new lender NatWest.
The €125 mln private placement of senior secured notes comprise €62 mln and £52.5 mln and have an average coupon of 4.6% and 6.2% respectively. They have a maturity profile of between five and seven years.
Carol Phelan, CFO, Dalata said: ‘We are delighted to announce the successful completion of our refinancing. This increases our debt capacity to €600 mln, diversifies our funding sources and enhances the flexibility under the agreements.
‘As part of the refinancing, we are very pleased to have also secured our inaugural private placement on attractive terms demonstrating the credit quality of the Group. Our strategic focus on growing a sustainable business has been illustrated by the green term loan and private placement. These new facilities reflect the confidence of our partners, further enhance the group’s strong balance sheet and enable us to continue to deliver on our ambitious growth strategy’.
