Bromford Flagship has secured a new £150m sustainability-linked facility with HSBC UK.
The new facility comprises a seven-year, £50m term loan and a five-year, £100m revolving credit facility (RCF), which will support Bromford Flagship’s cash and liquidity requirements over the medium term.
Both are linked to sustainability KPIs and will support Bromford Flagship to achieve its targets.
Matthew Rose, director of treasury at Bromford Flagship, said: “We are pleased to have finalised this significant funding deal with HSBC UK. Their increase in commitments to the group demonstrates the strength of the relationship and their continued support for Bromford Flagship’s strategic objectives which include the development of new, affordable homes, investment in existing homes and delivering high quality services to customers
“The term loan and RCF together provide additional cash and liquidity to our newly enlarged group as we scale up our investment ambitions, enabling us to maintain our strong, sector-leading credit profile. We are delighted that the facilities include links to sustainability KPIs, which are seen as a helpful enabler for meeting key targets and focusing attention on the fundamental drivers of sustainability in our organisation.”
Stuart Taylor, head of social housing at HSBC UK, added: “HSBC UK is very pleased to extend our funding to Bromford Flagship with £150m of new facilities. Bromford Flagship has a clear growth strategy – including ongoing merger discussions with LiveWest – with the aim of delivering more new affordable housing whilst continuing to invest in their existing homes. This is great news for those communities where affordable housing is limited and will help get more people into their own homes.
Devonshires Solicitors acted on behalf of Bromford Flagship and Addleshaw Goddard acted on behalf of HSBC UK.
