Evans boosts war chest
EVANS Property Group, has strengthened its war chest for possible acquisitions after securing a £175m debt facility with two major banks.
The Leeds-based group has agreed the senior debt facility with The Royal Bank of Scotland (RBS) and Barclays Commercial Bank to provide committed credit lines through to 2013.
The move comes just over a year after the 70-year-old group sold a £400m portfolio of property before the credit crunch hit prices.
That sale saw Evans, headed by Monaco-based chairman Michael Evans, move its directors, led by managing director John Bell and finance director Paul Millington, to new offices in London.
Evans, with a reputation as one of the shrewdest property investors in the UK, currently has a net asset value of more than £350m.
The new debt facility coupled with the funds raised from its portfolio sale give it a significant war chest for possible acquisitions and developments when it deems the time is right to step back into the struggling commercial property market.
Finance director Mr Millington, said: “We are very pleased to have secured a five year committed facility on exceptional terms at a time of unprecedented market conditions. We were conscious that margins were likely to move out so we decided to move quickly. Both banks worked very closely with us to provide a structured solution within a very short timescale.”
David Hardcastle, business development director at Barclays Commercial Bank said: “Barclays is delighted to continue its support of the Evans Group, providing them with the financing flexibility to meet key strategic objectives. This transaction is testament to the continuing availability of debt funding to good quality corporates and the ability of banks to work together to deliver such financial arrangements.”
Ian Ball, relationship director at RBS commented: “This agreement provides Evans Group with a platform to continue the growth and success they have achieved during the last few years. RBS has continued to support the Evans relationship over the last 30 years and the directors continue to impress us with both the historic performance and their future plans for the business and we are delighted to continue supporting them.”
Law firm Walker Morris provided advice to Evans Group while Pinsent Masons advised Barclays and RBS.
