Monks Investment Trust PLC

Capital/Financing Update • Aug 6, 2020

National Storage Mechanism | Additional information

RNS Number : 3553V

Monks Investment Trust PLC

06 August 2020

The Monks Investment Trust PLC

Legal Entity Identifier: 213800MRI1JTUKG5AF64

The Monks Investment Trust PLC raises £100m of long-term debt

The Monks Investment Trust PLC (Monks) announces that it has issued £100 million of long-term, fixed rate, senior, unsecured privately placed notes. This transaction provides the Company with further long-term financing at very attractive rates.

The Board remains committed to the strategic use of borrowings for the Company in order to enhance returns to shareholders over the long term and has set a guideline gearing level of 10%. This new £100m financing will be available to bring Monks' level of gearing into line with this target level.

The new privately placed notes are being issued in two tranches: £60 million with a fixed coupon of 1.86% to be repaid in 2054 and £40 million with a fixed coupon of 1.77% to be repaid in 2045. Coupons will be payable semi-annually. The funding date for both tranches is the 7th August 2020. 

Centrus Financial Advisors Ltd acted as sole placement agent for the transaction.

James Ferguson, Chairman of the Monks, says:

"I am delighted that Monks has been able to raise private placement debt at highly attractive long-term rates. This is reflective of an established investment approach and the attractiveness of Monks' proposition. The Board is confident that the investment of these proceeds will enhance the long-term returns for our shareholders."

Baillie Gifford & Co Limited

Managers and Secretaries

6 August 2020

Regulated Information Classification: Additional regulated information required to be disclosed under applicable law

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