REG - Iomart Group PLC - Successful Refinancing and Notice of Results

iomartAnnouncement

30/06/2025 07:00

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RNS Number : 8601O  Iomart Group PLC  30 June 2025

30 June 2025

iomart Group plc

("iomart" or the "Group" or the "Company")

 

Successful Refinancing of Banking Facilities &

Notice of Results

 

iomart Group plc (AIM: IOM), the secure cloud services company, is pleased to
announce the successful refinancing of its banking facilities.

 

The new Revolving Credit Facility ("RCF"), totalling £115 million, has been
secured from a syndicate of the Group's existing lenders, comprising The Royal
Bank of Scotland plc, HSBC UK Bank plc, and Clydesdale Bank plc (trading as
Virgin Money). The facility extends to 30 June 2027 and includes financial
covenants, limited to debt cover and interest cover, which are aligned with
the Group's current leverage position and strategic objectives.

 

At current leverage levels, the bank margin under the new RCF is 3.0% above
SONIA. The RCF includes a margin ratchet mechanism, enabling reduced interest
costs as the Group deleverages.

 

Notice of Results

 

iomart now expects to announce its full year results for the year ended 31
March 2025 in late July 2025 and confirms that there has been no material
change to trading since the pre-close trading update issued on 23 April 2025.

 

In the forthcoming full year results, the Group expects to recognise a
non-cash exceptional goodwill impairment charge relating to the iomart Cloud
Services Cash Generating Unit ("CGU").  This reflects both the strategic
shift away from low growth, heritage product areas and the previously
disclosed accelerated customer churn in certain areas of this CGU. Subject to
audit, the impairment is expected to be approximately two-thirds of the CGU's
current goodwill value of £83.1 million. This non-cash charge has no impact
on the Group's operational performance or cash flows.

 

Scott Cunningham, CFO of iomart Group plc, commented:

 

"We are delighted to announce the completion of this refinancing, which
provides iomart with flexibility and supports the execution of our growth
strategy. We appreciate the continued support of our lending partners,
reflecting their confidence in the strength and resilience of our business."

 

For further information:

 iomart Group plc                                                                  Tel: 0141 931 6400
 Richard Last, Executive Chair
 Scott Cunningham, Chief Financial Officer

 Investec Bank PLC (Nominated Adviser and                                          Tel: 020 7597 4000
 Broker)
 Patrick Robb, Virginia Bull

 Alma Strategic Communications                                                     Tel: 020 3405 0205
 Caroline Forde, Hilary Buchanan, Kinvara Verdon

 

About iomart Group plc

 

iomart Group plc (AIM: IOM) is one of the UK's leading providers of secure
cloud managed services, simplifying the complexities of modern technology for
businesses, with the majority of Group revenue derived from the UK. Our team
of 650+ experts deliver cutting-edge solutions in cloud infrastructure, modern
workplace management, and managed security services that enable our customers
to innovate, protect, and scale their businesses.

 

We proudly hold one of the UK's most extensive sets of Microsoft credentials,
including Azure Expert MSP, six Solution Designations, and membership in
Microsoft's Intelligent Security Association (MISA). As well as being a
top-tier Broadcom Pinnacle Partner for VMware Cloud. Which means we can bring
the latest technologies in hybrid cloud, data protection, and cyber resiliency
to meet the evolving needs of our customers.

 

For further information about the Group, please visit www.iomart.com
(http://www.iomart.com/)

 

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