Business
Partial repayment of Five-Year Loan Facility
Partial repayment of Five-Year Loan Facility.
About this update from Forgent Plc
[{"type":"text","content":"\n \nRNS Number : 3310C EQTEC PLC 19 January 2018 \n\nThe information communicated in this announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) No. 596/2014.\n19 January 2018\nEQTEC PLC\n(\"EQTEC\", \"Company\" or the \"Group\")\nPartial repayment of Five-Year Loan Facility\n \nEQTEC PLC (AIM: EQT), the technology solutions company for waste gasification to energy projects, is pleased to announce that it has made a partial repayment of £378,882 on its Secured Loan Facility (\"SLF\"), which comprises a five-year term loan of £1,000,000 at 15% per annum fixed rate of interest, with Ecofinance GLI Limited (\"Ecofinance\"). The SLF, commencing in 2015, was repayable in full in July 2020. The Company, with the agreement of Ecofinance, has decided to repay £378,882 of capital and £2,958 in accrued interest to Ecofinance, earlier than scheduled, in order to reduce the cost of debt to the Group. The remaining balance of £621,118 is repayable in July 2020.\nSeparately, as set out in its Admission Document published on 27 November 2017, the Company had also reached agreement to further restructure its existing 7.5% £2,000,000 Convertible Secured Loan Note (\"CSLN\") with Altair Group Investment Limited (\"Altair\"). The CSLN was originally due for repayment with accrued interest on 14 July 2017. However, as set out in the Admission Document, standstill agreements were entered into by both parties in July and October 2017. As a result of the early repayment on the SLF, Altair will become the sole beneficiary of the SLF and shareholder of Ecofinance.\nIn accordance with those agreements, the CSLN was amended such that (i) the maturity date of the CSLN is extended to 14 July 2020 (ii) the interest rate applicable to the CSLN is varied to 15% p.a. (subject to a reduction in the interest rate for early repayment of the CSLN) and (iii) the price at which the CSLN converts has been amended to 0.585 pence per share. It was agreed that in consideration of Altair agreeing to these changes to the CSLN, after admission of EQTEC's enlarged share capital to trading on AIM following the acquisition of Eqtec Iberia SL, which occurred on 28 December 2017, the Company would grant to Altair warrants to subscribe for 105,263,158 ordinary shares exercisable at 0.975 pence per share for a period ...