Business
New Loan Facility
New Loan Facility.
About this update from Malvern International Plc
[{"type":"text","content":"\n \n \n \n RNS Number : 9923K\n Malvern International PLC\n 08 January 2021\n \n \n \n \n \n8 January 2021\n \n \n \n \n \n \n \n \n MALVERN INTERNATIONAL PLC\n \n \n (\"Malvern\" or the \"Company\")\n \n \n \n \n \n New Short-term Loan Facility\n \n \n Director Loan Note\n \n \n Trading and Covid Update and New Accreditation\n \n \n Malvern International plc (AIM: MLVN), the global learning and skills development partner, announces that it has entered into a new short term loan agreement for £350,000 (the \"New Loan\" or \"Loan\") with Boost & Co. Ltd (\"Boost\" or the \"Lender\"), and that it has secured a further £30,000 via a unsecured loan note with a Director.\n \n \n The purpose of this new borrowing is to provide bridging finance to ensure the Company has sufficient working capital pending the payment of a significant trade debtor amounting to in excess of £900,000 which is expected to be paid in quarter one 2021. \n \n \n New Short-term Loan Facility\n \n \n The New Loan for £350,000 will be drawn in full immediately. Interest on the amounts drawn down will be charged at 11.25% per annum.\n \n \n In the event that the New Loan is not repaid in full on 30 April 2021, the Lender is entitled to 18,500,000 warrants over 18,500,000 ordinary shares at an exercise price of 0.15 pence per share.\n \n \n An arrangement fee of 1.5% is payable on the New Loan on the signing of the loan agreement. \n \n \n The amounts drawn down are secured alongside the existing lending from Boost by way of debentures constituting the first fixed and floating charges over the Group's assets in the UK, including fixed charge security over the shares held in each English subsidiary of the Company.\n \n \n Director Loan Note\n \n \n As a condition of the New Loan, Richard Mace, Chief Executive of the Company, has agreed to lend the Company £30,000 by way of an unsecured loan. The loan is repayable on or before 30 April 2021 and attracts interest at 5.0% per annum.\n \n \n \n \n \n Trading and Covid Update\n \n \n \n \n \n In line with the government guidance all schools will be closed from 5th January to 14th February. \n \n \n \n \n \n University Pathway student numbers for the September intake ended up in line with budget with 121 students. It had been hoped that the intake would be ahead of expe...