Business
Credit Rating and Response to Speculation
Credit Rating and Response to Speculation.
About this update from Victoria Plc
[{"type":"text","content":"\n \nRNS Number : 7907F Victoria PLC 31 October 2018 \n\nNOT FOR DISTRIBUTION TO ANY PERSON LOCATED OR RESIDENT IN ANY JURISDICTION WHERE IT IS UNLAWFUL TO DISTRIBUTE THIS ANNOUNCEMENT. THIS ANNOUNCEMENT IS FOR INFORMATION PURPOSES ONLY AND IS NOT AN OFFER TO PURCHASE OR A SOLICITATION OF AN OFFER TO SELL ANY BOND\n \nThe information communicated within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Upon the publication of this announcement, this inside information is now considered to be in the public domain.\n \nNews Release \n \n31 October 2018\n \nVictoria PLC\n(\"Victoria\", the \"Company\", or the \"Group\")\n \nCredit Rating and Response to Speculation\n \nIn relation to the recently announced launch of senior secured notes (the \"Bond\"), the Board is pleased to announce this morning confirmation of a formal senior secured credit rating from Fitch, the global credit rating agency, of BB (stable) for the Bond. It is anticipated that a rating from credit agency Standard & Poors will be announced shortly.\n \nIn addition, the Board believes that it must address the misleading rumour and speculation surrounding the reasons for the Bond and the negative sentiment expressed towards the Company, and the consequent fall in price of the Company's ordinary shares since the start of the week.\n \nFirstly, the Company continues to have a close and positive relationship with its lending banks, HSBC and Barclays, and continues to operate with significant headroom with respect to its covenants under the existing 2-year facilities put in place in August 2018. Our lending banks are acting as joint global coordinators and bookrunners on the potential Bond issue and have been working with us on the project since April of this year.\n \nAs the Group has grown over the last six years, our lending banks have been, and continue to be, very supportive of our strategy and performance. Nevertheless, as our funding requirements have grown over time, various options have been examined to simplify the capital structure and provide long-term financing for the Group, and in early 2018 it was decided that a Bond issue would be a suitable fit for the Company for the following reasons:\n \n1. ...