Glaston Corporation’s newly-signed long-term financing agreement agreement fully replaces the earlier financing agreements and secures the company’s financing for the coming three-year period.
Glaston Corporation has signed a new long-term financing agreement to refinance the financing agreement maturing in 2016. The financing agreement consists of a EUR 10.0 million long-term loan and a EUR 22.0 million revolving credit facility, which can be used for short term financing and guarantees.
The agreement fully replaces the earlier financing agreements and secures the company’s financing for the coming three-year period. The agreement reduces Glaston’s funding and administrative costs and has therefore a positive effect on Earnings per Share. In addition, the agreement removes all restrictions for normal distribution of funds.
The financial covenants used in the financing agreement are gearing (net debt/ equity) and leverage (net debt/EBITDA). The covenants will be monitored quarterly.
The arrangers of the loan are Nordea Bank Plc and Pohjola Bank plc.