StockMarketWire.com - House builder Redrow said it had decided to close all of its building sites and offices and was talking to its lenders about accessing more credit.

The company said keeping construction sites open during the Covid-19 oubreak had become increasingly impracticable in recent days due to supply chain issues.

Redrow said it had a strong balance sheet with total net assets of around £1.6bn.

However, to retain some flexibility, it had commenced discussions with its syndicate of six banks in respect of additional committed banking facilities over and above the current £250m revolving credit facility.

The company said it planned to up an additional 'accordion' facility of £50m to £100m.

A significant number of Redrow employees would be furloughed. 'These are unprecedented times,' executive chairman John Tutte said.

'The actions we have announced today will give us the flexibility to manage the business through this turbulent period to ensure we are ready to resume production when it is safe to do so.'




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