How to make your money go further

No surprise - Victoria pulls its bond offering

06/11/2018 · Victoria (VCP) 

AIM Bonds UK

No surprise - Victoria pulls its bond offering
The AIM quoted flooring group has decided to pull its proposed bond offering and continue with its existing bank facilities. As alluded to in our previous Blog, the financial numbers were hardly encouraging and it certainly looked strange timing for a new debt facility.

Apparently, the indicative pricing for the bond was higher than had been anticipated, such that it did not warrant changing the Group’s debt financing arrangements at this time. Despite reassurances regarding the suggested ratings of BB (stable) and BB- from global ratings agencies Fitch and Standard & Poor’s respectively, the interim financial information was poor. Indeed, pro-forma numbers suggested to us that bond investors were going to demand a hefty coupon to take on the financing risk of this heavily indebted company. The Group confirmed that it is continuing to operate with ‘significant headroom’ with respect to covenants under its…

Sign up and read the full article

Register to continue reading this article.

Get FREE access now

Already a member? Login

Have your say

Log in or register to view or add comments.

Get free access now

Register free to gain access to more research


Investor's Champion Premium Content

Subscribers to our Premium Content receive priority notification by email of newly published research. Premium Content costs as little as £3.20 per research note.

More on Premium Content

More on Victoria

No surprise - Victoria pulls its bond offering

06/11/2018 · Blog
The AIM quoted flooring group has decided to pull its proposed bond offering and continue with…

Victoria – have the ratings agencies fallen asleep….again?  

01/11/2018 · Blog
News that, heavily indebted flooring group, Victoria (AIM:VCP) has secured a BB- rating from S&P has…

Victoria tries to reassure but it’s starting to unravel - shareholders you have been warned!

31/10/2018 · Blog
We have looked on incredulously at the meteoric rise in share price enjoyed by this manufacturer…

James Halstead - staggering margins from this high class AIM Blue Chip

13/06/2018 · Premium Content

Victoria PLC (AIM: VCP) – dispelling the doubters with another positive update 

22/03/2016 · Blog

The high flying carpet manufacturer has issued a positive trading update on the financial year ending…

More from the Blog

Strix Group - share based payments dwarf other costs

21/03/2019 · Strix Group PLC

Remember when the ASOS warehouse burnt down?

19/03/2019 · ASOS · Ocado

Judges Scientific: when a buy and build strategy works

19/03/2019 · Judges Scientific