Santander, Lloyds TSB and The Royal Bank of Scotland continue to back CareTech, along with Allied Irish Bank who have rejoined the syndicate, to establish new term loan, revolving credit and overdraft facilities. The new facility provides the platform for the group to continue to grow organically, with the scope for bolt on acquisitions.
CareTech provides high quality individual support and accommodation across a wide range of services including residential services, foster care and family services and mental health services. The group has capacity for over 2,116 places and operates services across England, Scotland and Wales.
Farouq Sheikh, CareTech's Executive Chairman, said:
“We are delighted to report the successful renegotiation of our banking arrangements well ahead of the existing facilities expiry in April next year. We are extremely pleased that all 3 current lenders are participating in these new facilities with previous lender AIB being a participant again.”
He added: “The new arrangements provide a clear and attractive funding structure to facilitate the medium term growth of the business.”
The Pinsent Masons team advising on the deal was led by Banking Partner Martin Bishop assisted by Anaïs Spacey (Banking) and Tom Eastwood (Property).
Commenting on the deal, Martin said: "It was a pleasure to work with CareTech to achieve a successful refinancing of the group's bank facilities. CareTech is a long-standing client of the Firm which, together with our strong healthcare sector credentials, helped us negotiate facilities specifically crafted for the group's business ".