StockMarketWire.com - Investment company Woodford Patient Capital Trust said it had renegotiated some of its loan terms amid a recent slide in the value of its holdings and share price.

The company's £150m facility contained provisions limiting borrowings to an amount based on the value of both its quoted and unquoted holdings.

Should the value of those holdings fall below the implied borrowing limit, the company was required to cut its debt load. At 4 September, its borrowings amounted to £113.7m.

'The company has agreed with its lender greater flexibility around certain obligations relating to the borrowing base for a period of time while the company pursues the disposal of certain unquoted assets,' Woodford Patient Capital said.

The company said it had agreed to make no further investments during that time, without the prior consent of the lender.

It had also agreed a revised interest rate with the lender of Libor plus 1.5%.

'The board is continuing to monitor the level of gearing against the borrowing base and as previously announced, Woodfor Patient Capital will seek to reduce borrowings over time as realisations are achieved,' it added.


At 1:21pm: [LON:WPCT] Woodford Patient Capital Trust Plc share price was +0.35p at 42.95p



Story provided by StockMarketWire.com