BDO’s Mergers & Acquisitions team acted as sponsor and financial advisor to Alpha UK Multi Property Trust plc on a complex refinancing.
The company is a listed property fund that invests primarily in a portfolio of higher yielding UK commercial property. Over the course of several months the BDO team worked with the directors and the investment manager, Alpha Real Capital, to assess the options for refinancing the existing debt within the company. This involved keeping the market regularly informed on developments relating to its debt facilities and obtaining shareholder approval to extend the continuation period of the fund to match the term of the new five year debt package.
The debt financing comprised a £33.5 million senior loan facility, a £20 million mezzanine loan facility and a £11.5 million unsecured loan from Alpha Real Trust Limited. Alpha Real Trust, is also managed by Alpha Real Capital and its loan facility replaced its previous holding of convertible unsecured loan notes in the company. The refinancing provides a strong platform from which to pursue the company’s strategy of rebuilding shareholder value over the medium to long term.
"BDO delivered a high quality service with a combination of pragmatic advice and dedication by working with us at every turn to make the refinancing succeed. Their advice and discussions with the FCA were crucial in order for the transaction to complete. We would have no hesitation in recommending BDO’s Corporate Finance team following this experience".
Rishi Adatia, Director, Alpha Real Capital