29 July 2010 – agreement on financing
The company has announced that it has agreed the terms of an additional £15m short term overdraft facility, together with deferral of interest and principal payments due on its existing facilities in July and August. This facility is available immediately and will be in addition to its current facilities of £200.6m. Negotiations will continue, with the objective of securing a restructuring of financing for the longer term, but this is welcome news. Risks do remain but there is plenty of scope for upside, leaving the shares as a SPECULATIVE BUY.