REG - NewRiver REIT plc - NewRiver agrees £240m unsecured debt facility

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RNS Number : 8400A  NewRiver REIT PLC  17 April 2026

 

 

NewRiver REIT plc

("NewRiver" or the "Company")

 

NewRiver completes £240 million unsecured facility, returning to a fully
unsecured debt structure

 

NewRiver has agreed a new unsecured £240 million facility comprising a £120
million Term Facility Commitment and a £120 million Revolving Credit Facility
("RCF"). The new facility achieves NewRiver's aims to extract maximum benefit
from its current debt structure while improving its debt maturity profile and
ultimately allows the Company to return to a fully unsecured debt structure
once the Term Facility Commitment is drawn. All four existing lenders have
increased their commitments, reflecting NewRiver's investment-grade credit
rating and the quality of its portfolio.

 

Term Facility Commitment - refinancing the Mall Facility

 ●    Unsecured £120 million Term Facility Commitment maturing in April 2030 (four
      years committed term)
 ●    Option to extend by three additional one-year terms (to April 2033), subject
      to lender approval
 ●    Margin of 190 basis points at the current LTV level
 ●    Available to be drawn until the end of January 2027 and will be used,
      alongside existing significant cash resources, to refinance the secured £140
      million Mall Facility

 

The secured £140 million Mall Facility was retained following the acquisition
of Capital & Regional plc in December 2024, principally due to its
attractive 3.5% coupon, which runs until January 2027. After that date, and
until its maturity in January 2028, the Mall Facility would revert to a
floating rate with a margin that is higher than the margin agreed under the
Term Facility Commitment. Delaying drawdown of the Term Facility Commitment
until January 2027 therefore allows NewRiver to extract maximum value from the
Mall Facility's 3.5% coupon.

 

Prior to drawing the Term Facility Commitment, NewRiver will pay a commitment
fee based on a percentage of the margin, which is expected to cost £0.6
million in FY27. This compares to an estimated £2.0 million over the same
period if the facility were to be drawn immediately, a saving of approximately
£1.4 million. NewRiver's dividend policy, which is linked directly to
Underlying Funds From Operations, means that this saving flows through to
shareholders.

 

Hedging is expected to be put in place prior to drawing the Term Facility
Commitment. Once drawn, NewRiver will once again have a fully unsecured
balance sheet.

 

Revolving Credit Facility - increasing and extending existing RCF

 ●    Unsecured £120 million Revolving Credit Facility maturing in April 2031 (five
      years committed term)
 ●    Option to extend by two additional one-year terms (to April 2033), subject to
      lender approval
 ●    Margin of 175 basis points at the current LTV level, with utilisation fees
      applied if the RCF is above one third drawn
 ●    A significant margin reduction versus the existing RCF

 

The new £120 million RCF is £20 million larger than the facility it replaces
and extends the maturity from November 2026 to April 2031.

 

The increased commitments from all four existing lenders, Barclays, HSBC,
NatWest and Santander, from £25 million to £60 million each, is a clear vote
of confidence in NewRiver's investment-grade credit rating and the quality of
its underlying portfolio. NewRiver was advised on the refinancing by
Rothschild & Co.

 

Will Hobman, Chief Financial Officer commented: "We've refinanced both the
Mall Facility and the existing Revolving Credit Facility in a single
transaction with the full support of our existing lenders, extending our debt
maturity at a reduced margin and on a fully unsecured basis.

 

With the first phase of our refinancing complete, we're now focused on our
growth agenda. We have the balance sheet, the platform and the pipeline to
continue deploying capital where our origination strengths and operational
expertise create value for shareholders.

 

The next stage of our refinancing will focus on our £300 million unsecured
corporate bond, which matures in March 2028. With over £200 million of cash
and available liquidity and an improved maturity profile, we are well placed
to manage that process from a position of strength."

 

For further information

 

 NewRiver REIT plc                             +44 (0)20 3328 5800
 Allan Lockhart (Chief Executive)

 Will Hobman (Chief Financial Officer)

 

 

 FTI Consulting        +44 (0)20 3727 1000
 Dido Laurimore

 Eve Kirmatzis

 

 

About NewRiver

 

NewRiver REIT plc ('NewRiver') is a leading Real Estate Investment Trust
specialising in buying, managing and developing resilient retail assets
throughout the UK. Following the completion of its acquisition of Capital
& Regional in December 2024, NewRiver has a £0.8 billion UK wide
portfolio covering 7.0 million sq ft, comprising 24 community shopping centres
and 11 conveniently located retail parks occupied by tenants predominately
focused on essential goods and services. In addition, we manage 19 shopping
centres and 17 retail parks on behalf of Capital Partners, taking our total
Assets Under Management to £2.3 billion. Our objective is to own and manage
the most resilient retail portfolio in the UK, focused on retail parks, core
shopping centres and regeneration opportunities to deliver long-term
attractive recurring income returns and capital growth for our shareholders.

 

NewRiver is listed on the Equity shares (commercial companies) category of the
Main Market of the London Stock Exchange (ticker: NRR). Visit www.nrr.co.uk
for further information.

 

LEI Number: 2138004GX1VAUMH66L31

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