13 July 2021
Drax Group plc
("Drax", the "Group" or the "Company"; Symbol: DRX)
Refinancing of Pinnacle Debt with Lower Cost ESG Facility
Drax is pleased to announce that it has completed the refinancing of the Canadian dollar facilities it acquired as part of the Group's acquisition of Pinnacle Renewable Energy Inc. (Pinnacle) in April 2021.
The new C$300 million term facility ("the Facility") matures in 2024, with an option to extend by two years(1), and has a customary margin grid referenced over CDOR(2).
The Facility reduces further the Group's all-in cost of debt to below 3.5% and includes an embedded ESG component which adjusts the margin payable based on Drax's carbon intensity measured against an annual benchmark.
The Facility, along with surplus cash, replaces Pinnacle's approximately C$435 million facilities which had a cost of over 5.5%.
Enquiries:
Drax Investor Relations: Mark Strafford
+44 (0) 7730 763 949
Media:
Drax External Communications: Selina Williams
+44 (0) 7912 230 393
Website: www.drax.com
END
Note
(1) Subject to lender consent.
(2) Canadian Dollar Offered Rate.
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.