Originally Posted by
Expressflight
I don't know which companies have expressed an interest in preliminary discussions with Esken, nor their airport operating credentials, and I doubt that you do either. What I do know is that freeing up £20m of working capital should ensure that there is no mid-2024 deadline for finding a suitable buyer. Without this money it could have become a fire sale.
From the official statement:
Net proceeds of the Disposal are expected to total £78.5 million (which includes the Intercompany Loan Reimbursement and is net of transaction costs), which will be used to immediately repay the £55 million of committed funding drawn under the Facilities Agreement and associated costs (based on the Company's latest calculation, the amount to settle will be £70.6 million in total). The balance of the net proceeds will be used: (i) to further contribute approximately £3.6 million to the Group's defined benefit pension scheme; and (ii) to provide additional working capital in the short term;
I may be reading it wrong but the above suggests £4.3m remaining for working capital.
The statement goes on to say:
Following this sale, and subsequent repayment of our debt facility, our focus will now primarily turn to addressing the maturity and terms of the Exchangeable Bond.