LONDON (ShareCast) - (ShareCast News) - Closed-end investment company HarbourVest Global Private Equity has announced the successful renewal of its existing $500m multi-currency credit facility with Lloyds Bank and Credit Suisse.
The FTSE 250 firm said the lenders would provide an equal commitment of $250m each.

While retaining similar covenants to the prior deal, the facility now had a duration of five years and extended to December 2022.

HarbourVest said the commitment fee on the undrawn facility remained unchanged at 115 basis points.

The LIBOR margin applicable to the facility would be 275 basis points for borrowings of less than $250m - a further 30 basis points would be payable on the total sum drawn if borrowings exceeded $250m.

That compared with a LIBOR margin of 300 basis points on the previous terms, which increased to 330 basis points payable on the total sum on borrowings greater than $250m.

The company moved to a net cash position in August 2014, and has had no requirement for the use of borrowed funds in the intervening period, the board said.

HarbourVest held net cash of $176m as at 31 October, and as of Wednesday morning, the facility remained undrawn.

"I am pleased to confirm that the board has approved an extension of the Company's existing $500 million credit facility," said chairman Sir Michael Bunbury.

"With an additional year negotiated under the terms of the deal, the new five-year Facility sees the expiry date move out to December 2022.

"This renewal, with the extended duration and improved financial terms, provides additional comfort for a further five years and demonstrates the board's commitment to shareholders to prudently manage the company's balance sheet."

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