BlackRock Smaller Companies Trust Plc - Fixed Rate Borrowing
Fixed Rate Borrowing
The net proceeds from the Company's issuance of the Notes will be used to repay existing indebtedness and to participate in investment opportunities as and when they arise.
The Company considers obtaining such Sterling denominated financing on an unsecured basis at this price level and at a 25-year term to be highly attractive. Furthermore, the issuance of the Notes has the advantage of balancing the maturity profile of the Company's liabilities.
In addition to the Notes, the Company has a range of borrowings and facilities in place to provide balance between longer term and short term maturities and between fixed and floating rates of interest. Fixed rate funding now consists of the Company’s existing £15 million debenture, which matures in
It is the Board’s intention that gearing will not exceed 15% of the net assets of the Company at the time of the drawdown of the relevant borrowings. Under normal operating conditions it is envisaged that gearing will be within a range of 0%-15% of net assets. The Company’s net gearing currently stands at 6.9% of net assets.
Ms S Beynsberger
for and on behalf of
Tel: 0207 743 2639
This notice is for information only and does not constitute an offer to sell or the solicitation of an offer to buy any security and shall not constitute an offer, solicitation or sale of any securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. This notice is not for distribution or release in or into