Iceland - secured £20m Super Senior Facility

All,

Iceland announced today they have secured a £20m super senior facility (through it’s subsidiary Iceland VLNCO Limited), via Credit Suisse as lender and arranger with a maturity of July 2021.  It is a surprise that management feel the need to secure additional funding, notwithstanding the £40m maturity of 2020 FRNs in July, given its strong cash balance at December-19 (£85m) and its undrawn HSBC revolver of £30m.  

We have tried to contact the Company to confirm if the (HSBC) RCF is cancelled or drawn but no reply.  

We continue to monitor the situation and maintain our long position.  

Full year results are due in the coming weeks.

Tomas