Abbeycrest reaches deal with senior lender

JEWELLERY group Abbeycrest announced today that its senior lender Burdale Financial has agreed to re-set and extend the banking covenants on its £0.8m facility until 2012.

Last month, Abbeycrest reached a deal with its Thai bankers over capital facilities just weeks after revealing it had breached covenants with its senior lender.

The wholly owned subsidiary of the Leeds-based company, Abbeycrest Thailand, agreed an increase of £2.1m to its seasonal working capital facilities with Siam Commercial Bank.

In July, Abbeycrest said that it was suffering from rising gold prices which had hit customer demand in both its Essentials and Brands divisions and was in discussions with Burdale Financial over breached profit covenants as well as Siam Commercial.