Tool hire group HSS has secured a refinancing deal with its lenders as it battles to turn its financial fortunes around.
The embattled firm has managed to refinance its £245million debts, having posted an annual loss of £85million last year.
After being forced to publish a string of profit warnings since its flotation on the London Stock Exchange in 2015, HSS has embarked on a cost cutting drive in a bid to save around £13million a year.
Refinancing: Tool hire group HSS has secured a refinancing deal with its lenders as it battles to turn its financial fortunes around
The company said £200million of the loan facility is scheduled to be repaid by June 2023, while the remainder will need to be repaid by December 2020 or earlier should HSS wish.
HSS’ share price is down 1.69 per cent or 0.55p to 32.05p.
Paul Quested, chief financial officer at HSS, said: ‘We are very pleased to have successfully secured the long-term refinancing of the group.
‘This now ensures that we have the appropriate facilities in place to continue delivering on our strategic priorities and the group’s full potential.’
HSS saw its losses surge to £85.2million last year, compared with a £17.4million loss in 2016.
In April’s full-year results, it admitted last year was a ‘difficult year’, but insisted its turnaround was bearing fruit, with trading so far this year ‘solid.’