Impax Environmental Markets PLC

Capital/Financing Update • Sep 7, 2023

National Storage Mechanism | Additional information

RNS Number : 6294L

Impax Environmental Markets PLC

07 September 2023

Impax Environmental Markets plc

LEI: 213800RAR6ZDJLZDND86

7 September 2023

Completion of debt refinancing

Further to its announcement of 20 July 2023, the Board of Impax Environmental Markets plc (the "Company") is pleased to confirm that the €60m privately placed notes (the "Notes") issued to funds managed by Pricoa Private Capital (part of PGIM, Inc) closed and settled on 1 September 2023. The Notes consist of three tranches as follows:

·    €20m maturing on 1 September 2030 with a floating coupon of Euribor + 1.35% (coupon of 5.306% for the initial 6 month period from 1 September to 1 March 2024);

·    €30m maturing on 1 September 2033 with a fixed coupon of 4.48%; and

·    €10m maturing on 1 September 2035 with a fixed coupon of 4.63%.

Interest is payable semi-annually. The proceeds of the Notes have been used to repay the $32.2m and £25m debt provided by The Bank of Nova Scotia, London Branch ("Scotiabank") which matured on 6 September 2023.

The Board is also pleased to announce that it has agreed a new two year £80m multi currency revolving credit facility ("RCF") with Scotiabank from 6 September 2023. The RCF has an initial committed amount of £35m with a floating interest rate priced at the relevant reference rate plus a margin of 1.6%. The RCF is secured by a floating charge over the assets of the Company and this floating charge has been extended to the Notes, so that the two lenders rank pari passu. An amount of €40,943,000 (equivalent to £35m) was drawn down under the RCF on 6 September 2023.

This completes the Company's planned debt financing arrangements.

Glen Suarez, Chair of the Board, said: "The completion of the bank facility refinancing and the new Notes provides us with an attractive blend of structural longer-term institutional and short term bank debt and comes at a time when the Board and the Manager believe that portfolio valuation makes gearing desirable. This combination of debt capital serves to increase gearing to c.7.5% (from 4.5% at 31 August 2023) and provides the Company with additional  flexibility to act in the long term interests of its shareholders." 

Centrus Financial Advisors Limited acted as adviser on the refinancing.

For further information contact:

Centrus Financial Advisors Limited	robert.stjohn@centrusadvisors.com
Robert St John	0203 846 5676
Investec Bank plc	020 7597 4952
David Yovichic
Impax Asset Management (AIFM) Limited            (the "Manager")
Paul French	p.french@impaxam.com
	0203 912 3032
Montfort Communications	iem@montfort.london
Gay Collins/Lesley Wang	07798 626282
Apex Listed Companies Services (UK) Limited	020 3327 9720
Company Secretary

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