DJ New undrawn five-year sustainability linked term loan facility
easyJet plc (EZJ)
New undrawn five-year sustainability linked term loan facility
26-Jun-2023 / 13:15 GMT/BST
=----------------------------------------------------------------------------------------------------------------------
26 June 2023
easyJet plc
('easyJet')
easyJet announces new undrawn five-year sustainability linked term loan facility, replacing an existing, partially
drawn, term loan facility
easyJet today announces the signing of a new undrawn five-year sustainability linked term loan facility ("new
facility") of USD1.75 billion underwritten by a syndicate of banks and supported by a partial guarantee from UK Export
Finance under their Export Development Guarantee scheme. The Export Development Guarantee scheme for commercial loans
is available to qualifying UK companies and does not carry preferential rates or require state aid approval.
The new term loan facility replaces easyJet's existing USD1.77 billion term loan facility. easyJet is capitalising on its
sector-leading investment grade balance sheet to fully repay the existing UKEF drawn balance of USD950 million, which
incurred interest at a floating rate. This facility has now been cancelled, resulting in no aircraft currently being
encumbered within the Group.
This new five-year sustainability linked facility will be undrawn initially. Upon any draw down, cash will be secured
against aircraft. The new facility extends easyJet's debt maturity profile, whilst maintaining available liquidity and
reduces the group net financing costs.
A sustainability key performance indicator linked to a reduction in carbon emission intensity in line with our SBTi
validated target is embedded in the financing cost - there is a margin adjustment mechanism (upward or downward)
conditional to the achievement of specific milestones.
Kenton Jarvis, easyJet CFO said:
"This new facility extends easyJet's maturity profile, whilst maintaining our high liquidity position. The group's net
financing costs will significantly reduce over the coming years with over one billion pounds of debt retired this
financial year.
"This facility strengthens our balance sheet, supports our investment grade credit ratings and further shows our
commitment to our SBTi-aligned sustainability targets."
For further details please contact easyJet plc:
Institutional investors and analysts:
Michael Barker Investor Relations +44 (0) 7985 890 939
Adrian Talbot Investor Relations +44 (0) 7971 592 373
Media:
Anna Knowles Corporate Communications +44 (0) 7985 873 313
Olivia Peters Teneo +44 (0) 20 7353 4200
Harry Cameron Teneo +44 (0) 20 7353 4200
----------------------------------------------------------------------------------------------------------------------- Dissemination of a Regulatory Announcement, transmitted by EQS Group. The issuer is solely responsible for the content of this announcement.
-----------------------------------------------------------------------------------------------------------------------
ISIN: GB00B7KR2P84 Category Code: MSCM TIDM: EZJ LEI Code: 2138001S47XKWIB7TH90 OAM Categories: 3.1. Additional regulated information required to be disclosed under the laws of a Member State Sequence No.: 253506 EQS News ID: 1665745 End of Announcement EQS News Service =------------------------------------------------------------------------------------
Image link: https://eqs-cockpit.com/cgi-bin/fncls.ssp?fn=show_t_gif&application_id=1665745&application_name=news
(END) Dow Jones Newswires
June 26, 2023 08:15 ET (12:15 GMT)
© 2023 Dow Jones News
