This article is from the Australian Property Journal archive
THE Rubicon Europe Trust Group has signed the amended deed for the Credit Suisse debt facility.
Under the amended facility, the loan will be reduced to €35 million ($A59.5 million) by December 31 2008 with a final maturity of December 2009.
But the deal will see Credit Suisse’s market margin calls power return from January 01 2009.
The trust will pay a consent fee of €1 million plus 4% of the excess of the December 31 2008 loan balance above €15 million new financial covenants.
Under the revised financial covenants, REU must maintain the ratio of adjusted tangible net worth to the aggregate outstanding amount under the CS facility at no less than 2.25 times. This replaces the covenant which required that adjusted tangible net worth to be not lower than $A250 million.
And REU must maintain the ratio of aggregate financial indebtedness, of REU and all of its subsidiaries, to aggregate adjusted tangible net worth so that it does not exceed 6.5 times. This replaces the covenant which required this ratio to be not greater than 5 times.
Australian Property Journal
