The deal concerns its receivables securitisation agreement, which was due to expire in March 2014.
The size of the programme has been increased from £100M to £120M, the interest margin reduced and the expiry date extended to the end of September 2015, said the firm. There is also an option to extend the programme to the end of 2016.
‘Increased levels of funding’
“The new agreement provides the company with more cost effective financing and increased levels of funding and is an important step in developing a long term and sustainable capital structure,” it said.
Premier Foods added that it had reached “a mutual and amicable decision” with Citigroup that the financier would step down as broker to the company. Jefferies Hoare Govett has been appointed as joint corporate broker alongside Credit Suisse.
Meanwhile, Premier Foods’ head of regulatory affairs Alasdair Tucker will be taking part in the Food Manufacture Group’s free, one-hour webinar – The Food Information Regulation: the way forward – to be staged in association with law firm DWF. To register for the online event, which will take place on Thursday February 20, please email Michael.firstname.lastname@example.org.