THG has extended its revolving credit facility by 17 months to May 2026, although the £170m facility remains undrawn since the Manchester ecommerce and services giant floated on the LSE in 2020.
THG said there will be no changes to the financial covenants or interest margin beyond the existing maturity date. From December 2024, the facility will be for £150m.
The statement added: “Following the Group’s strong profit and cash performance, closing net leverage for FY 2023 was c.1.8x, compared to 2.8x for FY 2022. Continued positive momentum into FY 2024 provides confidence of further degearing.
“The extension affords the Group continued significant financial flexibility during uncertain geo-political times. As at December 2023 the Group had c£600 million of cash and undrawn facilities providing substantial liquidity and flexibility, to capitalise on growth opportunities.”
