Centrus advises Accord on successful £100m capital raising
Accord, a leading Registered Provider with 13,000 homes and a range of services to over 80,000 people across the Midlands and beyond, has completed a successful £100m private placement with Pensions Insurance Corporation (“PIC”).
The long-dated transaction comprised an immediate drawing of £50m with one deferred tranche of £25m after one year and a further £25m after two years and will be used to support Accord’s growth and development ambitions to deliver much needed new homes.
Centrus supported the Accord team with advice around its treasury strategy and funding options before being appointed to advise on the execution of the private placement process. Accord met with a range of institutional investors and received a number of competitive proposals before selecting PIC.
Commenting on Centrus’s role in the transaction, Stuart Fisher, Accord’s Executive Director of Resources said Accord is delighted to have secured this £100m funding facility with PIC. Accord was expertly supported by the Centrus team throughout the process which resulted in substantial funding package at an attractive rate representing extremely good value in the market.
Centrus Managing Director, Robert St John who led the Centrus team said The competitive terms achieved by Accord are a testament to an organisation with a clear strategy across affordable housing and care. There were a number of institutional investors competing for Accord’s financing and PIC delivered the most attractive combination of terms and conditions including settlement of the initial tranche on closing as well as the deferred tranches to be settled in future years. We are very pleased to have supported the Accord team in securing this funding which will underpin the company’s business plan.