Entain Plc’s board of directors has secured a first lien term loan of $1.12 billion (€995 million) to refinance the company’s long-term corporate debt.
To keep investors up to date, the FTSE100 gambling business will use the proceeds of its new loan to refinance an existing $774 million debt that was set to mature on March 29, 2024.
Entain’s loan term maturity rates will be extended until March 29, 2027, and will be priced at the London Interbank Offered Rate (LIBOR) + 250 basis points, or 2.5 percent.
The $350 million (€295 million) remaining on the loan will be made available to Entain governance in order to accelerate the company’s corporate expansion, including mergers and acquisitions.
The loan’s duties will be maintained by Entain Holdings Gibraltar and GVC Finance Ltd subsidiaries, with the deal likely to be completed by the end of July.
Entain boosted its full-year earnings prediction to the region of £850-£900 million ahead of the release of its interim trade results on August 12th, following better-than-expected H1 results, fueled by considerable growth in our sports betting verticals.
Entain also announced that it would increase its investment and manpower this year in order to speed the construction of its new in-house gaming studio.