KPMG acts on £70m care home refinancing

A BIRMINGHAM-based team from accountancy and advisory firm KPMG has advised a car home group on its £70m refinancing.

Methodist Homes (MHA) – which has been operating for 70 years – is a charity providing care homes and retirement living for older people and those suffering from dementia.

The refinancing deal will allow the Derby-based company to focus on its mission to improve quality of life for some 16,000 older people across the UK, living in MHA care homes or retirement apartments, or accessing care services within the community.
 
The KPMG team, led by Tim Metzgen working alongside Steve Hickman and Sam Andrews, advised the company on its refinancing.

This led to MHA negotiating a ten-year facility with Barclays. This financing has diversified MHA’s debt facilities and enables it to lock in favourable longer-term rates.
 
KPMG ran a process to test the market with a range of prospective lenders across multiple markets.  Barclays won the deal due to the competitive terms offered, its healthcare sector experience and the team’s understanding of the MHA strategy. Pinsent Masons gave legal advice to MHA, while DLA Piper acted for Barclays. 
 
Adrian Bagg, chief executive at MHA, commented: “We have been delivering on our mission to provide quality of life for older people since 1943, and getting the right finance facility in place, aligned to our ten-year strategy, ensures we can continue to grow MHA to help even more older people than we do already.”

Tim Metzgen, KPMG, added: “This refinancing deal will enable them to continue with the incredibly important work they do, building on their rich history of support and care to benefit the growing older people demographic.”