(Alliance News) - Triple Point Energy Transition PLC on Tuesday said it completed an extension of its GBP40 million revolving credit facility with TP Leasing Ltd.

The London-based investment firm said the facility's original tenor of two 2 years has now been extended by 12 months, taking it until March 28, 2025.

It said the pricing of facility has also been adjusted to reflect the current interest rate environment. For the second year of its original tenor and the third year, or the extension year, the annual coupon will increase from 4.5% per year to 6.0% per year.

Before the start of the extension year the coupon will be reviewed with the prospect of either staying at 6.0% per year or being lowered to 6.0% per year. This is in order to reflect the prospect of potentially decreasing interest rates from 2024 onward, Triple Point Energy said.

It added the fixed annual coupon includes a margin of 250 basis points over the relevant lending benchmark, during each year of the extended term of loan.

"I am pleased that Triple Point Energy has extended its revolving credit facility, which will enable the company to invest into its pipeline of battery energy storage assets as well as other selected, attractive pipeline opportunities," said Triple Point Energy Chair John Roberts.

"It is encouraging to have been able to secure the extension with advantageous terms including a very competitive annual coupon despite a rising interest rate environment. The attractive annual coupon of 6.0% per year is reflective of the strong performance of Triple Point Energy's operational assets."

Shares in Triple Point Energy were up 0.4% to 71.78 pence each in London on Tuesday afternoon.

By Greg Rosenvinge, Alliance News reporter

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