REG-RM plc RM plc: Extension and amendment of Banking facility

RMAnnouncement

06/03/2024 14:00

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   RM plc (RM.)
   RM plc: Extension and amendment of Banking facility

   06-March-2024 / 13:48 GMT/BST

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                                                                 6 March 2024

    

                                     RM plc

                  Extension and amendment of Banking facility

    

   RM plc, (“RM”,  the “Company”), a  leading global educational  technology,
   digital learning and assessment solution  provider, announces that it  has
   reached agreement with  its lenders to  extend its current  facility by  a
   further year to the end of July 2026.

    

   As previously announced, in the second  half of 2023, the Company  entered
   discussions with its Lenders to extend  its current facility by a  further
   year and  to  review  the  requirements of  the  covenant  testing.  These
   discussions have now successfully concluded,  and the Company has  secured
   an agreement with Lenders which extends the existing £70m facility to July
   2026 and has reset the requirements and extended the term of the quarterly
   minimum last twelve months (“LTM”) EBITDA covenant tests to November 2025.
   From February 2026,  the covenant tests  are replaced by  a quarterly  LTM
   EBITDA (post IFRS16) leverage test and  interest cover, both of which  are
   required to  be below  4 times.  The “hard”  liquidity covenant  was  also
   lowered to £5m for the periods 15th September to 24th October 2024 and 1st
   January to 21st March  2025. All other  requirements, including the  fixed
   and floating  charge  and  soft  liquidity  covenants,  remain  materially
   unchanged under the update.

    

   Mark Cook, Chief Executive of RM, commented:

    

   "I am grateful for the continuing support of our lenders and the extension
   to our facility  and amendment to  the covenant tests.  Both lenders  have
   held long term supportive relationships  with the Company over many  years
   and continue to  support RM  as it  embarks on  its strategic  development
   programme to simplify the  business, reduce its net  debt, and return  the
   Company to growth and profitability.”

    

                                        

                                   Enquiries:

   RM plc  1 investorrelations@rm.com

   Mark Cook, Chief Executive Officer

   Simon Goodwin, Chief Financial Officer

   Fiona O’Nolan, Investor Relations

    

    

                                Notes to editors

   RM was founded in 1973, with a mission to improve the educational outcomes
   of learners worldwide.  Fifty years on,  we are a  trusted Global  EdTech,
   digital learning and assessment solution provider, transforming  learners,
   educators,  and  accreditors  to   be  more  productive,  resilient,   and
   sustainable. Our  simple approach  enables  us to  deliver best  in  class
   solutions to optimise accreditation outcome.

    

   RM  is  focused   on  delivering  a   consistently  high-quality   digital
   experience, acting as a trusted consultative partner to provide  solutions
   that deliver  real impact  for learners  worldwide. Our  three  businesses
   include:

     • Assessment - a global provider of assessment software, supporting exam
       awarding bodies, universities, and  governments worldwide to  digitise
       their assessment delivery.
     • TTS  (Teacher  Technology  Solution)  –  an  established  provider  of
       education resources for  early years, primary  schools, and  secondary
       schools across the UK and to 80 countries internationally.
     • Technology - a  market-leading advisor  and enabler  of ICT  software,
       technology and bespoke services to UK schools and colleges. 

    

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   Dissemination of a Regulatory Announcement, transmitted by EQS Group.
   The issuer is solely responsible for the content of this announcement.

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   ISIN:           GB00BJT0FF39
   Category Code:  MSCH
   TIDM:           RM.
   LEI Code:       2138005RKUCIEKLXWM61
   OAM Categories: 3.1. Additional regulated information required to be
                   disclosed under the laws of a Member State
   Sequence No.:   308101
   EQS News ID:    1852951


    
   End of Announcement EQS News Service

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References

   Visible links
   1. mailto:investorrelations@rm.com


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