Manchester industrial chain and power transmission firm Renold plc announced that it has refinanced its core banking facilities that were due to mature in May 2026.

“The existing facilities have been amended and extended by a period of two years, and will be in place until May 2028,” said the firm.

“The existing multi-currency revolving credit facility has been increased to £105m from the previous level of £85m.

“Additionally, the lenders have agreed in principle (subject to appropriate documentation being signed) to provide an increased uncommitted £25.0m accordion which will allow the company to access additional funding, if required, in support of its acquisition programme as part of the group’s STEP2 strategy.

“The new facilities will be provided by the company’s existing banks HSBC, Allied Irish Bank (GB) and Citibank.

“The principle facility terms continue, with the Net Debt / EBITDA covenant at 3.0 times EBITDA, and the EBITDA / Interest Cover at 4.0 times, and with other key terms remaining unchanged.”

Renold CEO Robert Purcell said: “We are delighted to announce we have reached agreement to extend our banking facilities, which will provide a stable financing platform to support the continued strategic development of the group over the next few years.”