Centrus advises A2Dominion on successful £50m capital raising
Longstanding Centrus client A2Dominion Housing Group has closed a secured funding of £50million, with settlement deferred to March 2020, a final maturity of March 2045 and a weighted average life of 20 years. This has been priced at a fixed coupon of 3.514%. The transaction is designed to refinance future maturing secured loan facilities.
The funding was provided by Phoenix Group, Europe’s largest life and pensions consolidator. This further strengthens the Group’s liquidity and will enable it to continue to grow and proceed with new development opportunities.
A2Dominion’s Executive Director (Finance & Strategy), Dean Tufts, said: This long-term funding further demonstrates the prudent and forward looking financial strategy we have in place at A2Dominion. We are pleased to have worked with Phoenix to agree new funding with a deferral period and will continue to look for similar opportunities to support our aim to provide high quality homes and invest in local communities.
Robert St John, Managing Director at Centrus commented: We are very pleased to have assisted A2Dominion in improving its liquidity so that it can meet its objectives of expanding its provision of high-quality homes and investing in the communities where it operates.
Phoenix Group’s Head of Financial Management Group, Scott Robertson, said We are delighted to be supporting A2Dominion’s strategic plans to deliver more homes in southern England. This transaction provides long-term funding tailored to A2Dominion’s development plan as well as providing a high quality stream of cash flows to match our pension liabilities.