U.K. company Lok'nStore Group PLC, which provides self-storage and records-storage services, has exercised its extension option on a five-year, £40 million revolving credit facility with Royal Bank of Scotland PLC. The original credit agreement was executed last year. The two-year extension will expire in January 2023. The funds will be used for acquisitions and working capital, according to a press release.
“This extension of our existing banking facility with its extremely competitive terms and flexible structure underlines the financial strength of Lok’nStore,” CEO Andrew Jacobs said. “Following the sale of 1.975 million shares held in treasury in November 2016, our pro forma loan-to-value ratio is down to 14.9 percent and pro forma cash position is £11.4 million. With our modest gearing, valuable property assets, and strong and growing cashflow, the group will continue to execute its current growth strategy.”
The company is expected to publish its preliminary, interim financial results for the six-month period to January 2017 on April 24.
Founded in 1995, Lok’nStore builds, buys or leases large warehouses or industrial buildings and rents storage units to customers on a weekly basis. It operates 26 self-storage facilities and two records-storage locations in Southern England. The self-storage portfolio is comprised of 12 freehold or long-leasehold properties, eight leasehold sites and four locations under management. It owns 20 of its operating facilities.