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Online and land betting company secures financing for Coral merger.
 The UK online and land betting group Ladbrokes plc announced Friday that it has signed a GBP 1.35 billion facility with a syndicate of relationship banks to provide committed financing for its proposed merger with Coral announced on 24 July 2015
The new facility has three tranches and will be available for drawing subject to completion of the merger with Coral.
Tranche A - GBP 600 million Term Facility - October 2016 and, subject to extension options, January 2018
Tranche B - GBP 400 million Revolving Credit Facility - October 2020
Tranche C - GBP 350 million Revolving Credit Facility - June 2019
Ladbrokes' existing GBP 55 million December 2016 bank facilities were cancelled in September 2015 and its remaining standalone GBP 350 million June 2019 bank facilities will be cancelled as a condition precedent to drawing on the new facility.
The company says that its intention is for the GBP 100 million September 2022 and the GBP 225 million March 2017 Ladbrokes bonds to remain in place following completion of the merger.
As a result of this financing, the Gala Coral debt comprising GBP 315 million Senior Secured Note 2018, GBP 275 million Secured Note 2019 and GBP 812 million Senior Secured Facilities 2018, will not be transferred into the enlarged Ladbrokes Coral group at completion of the merger.
Ladbrokes chief financial officer Ian Bull said in a company statement:
"I am pleased that our relationship banks have shown strong support in putting in place a significant size facility at similar pricing to our current facilities. We believe that this facility will provide sufficient liquidity to an enlarged Ladbrokes Coral group following the merger."

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