Revolving Credit Facility extension to May 2026
RCF extended by 17 months to May 2026; facility reduces to £150m from December 2024.
- RCF extension to May 2026
- RCF size from December 2024 £150 million
- Current RCF £170 million
- Net leverage FY 2023 c.1.8x (prior 2.8x FY 2022)
- Cash and undrawn facilities c.£600 million
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THG PLC ("THG" or the "Group"), confirms the extension of its Revolving Credit Facility "RCF" by 17 months to May 2026.
The £170 million facility remains undrawn since IPO, and there will be no changes to the financial covenants or interest margin beyond the existing maturity date. From December 2024, the facility will be £150 million.
Following the Group's strong profit and cash performance, closing net leverage[1] for FY 2023 was c.1.8x, compared to 2.8x for FY 2022. Continued positive momentum into FY 2024 provides confidence of further degearing.
The extension affords the Group continued significant financial flexibility during uncertain geo-political times. As at December 2023 the Group had c.£600 million of cash and undrawn facilities providing substantial liquidity and flexibility, to capitalise on growth opportunities.
[1] Net leverage defined as the ratio of net debt to adjusted EBITDA. Net debt consists of loans (excluding lease liabilities), less cash and cash equivalents.
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