Brief: Lehto Signs Binding Preliminary Agreement With Banks On New Financing

Lehto Oyj

20/05/2022 07:24

May 20 (Reuters) - Lehto Group Oyj  LEHTO.HE :
    * LEHTO GROUP PLC: LEHTO AND BANKS HAVE AGREED ON FINANCING
AS
PART OF APPROXIMATELY EUR 50 MILLION FINANCING PACKAGE
    * SIGNED A BINDING PRELIMINARY AGREEMENT ON NEW FINANCING
WITH OP
CORPORATE BANK PLC  AND NORDEA BANK
    * PRELIMINARY AGREEMENT IS PART OF APPROXIMATELY EUR 50
MILLION
FINANCING ARRANGEMENT UNDER PREPARATION
    * MAIN ELEMENTS OF FINANCING ARRANGEMENT: DIVESTMENT OF
LEHTO'S
PIPELINE RENOVATION BUSINESS
    * MAIN ELEMENTS OF FINANCING ARRANGEMENT: NEW RCF CREDIT
FACILITY
FROM BANKS
    * FINANCING PACKAGE IS ESTIMATED TO IMPROVE LEHTO'S CASH
FLOW
APPROXIMATELY BY EUR 50 MILLION, WHEREOF MAJORITY IS EXPECTED TO
OCCUR IN 2022
    * RESULT FOR FINANCIAL YEAR 2022 WILL IMPROVE BY
APPROXIMATELY EUR
30 MILLION
    * EQUITY WILL IMPROVE BY APPROXIMATELY EUR 30 MILLION
    * NET CASH FLOW IN 2022 WILL IMPROVE BY APPROXIMATELY EUR 29
MILLION
    * EQUITY RATIO WILL IMPROVE BY ABOUT 6-7 PERCENTAGE UNIT
    * ESTIMATED IMPACT OF DIVESTMENT IN 2022: NET SALES FROM
CONTINUING OPERATIONS IS DECREASED BY APPROXIMATELY EUR -36
MILLION
    * ESTIMATED IMPACT OF DIVESTMENT IN 2022: OPERATING RESULT
FROM
CONTINUING OPERATIONS IS DECREASED BY APPROXIMATELY EUR -5
MILLION

Source text for Eikon:  ID:nWkr41tT49 
Further company coverage:  LEHTO.HE 

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