Victoria Plc - comment

The balance sheet restructuring of Victoria Plc is painfully slow, but another milestone was completed today. The RCF, which had traded away from the traditional holders to hedge funds, including Cyrus Capital and Silver Point, was downsized (by £20m) and refinanced into a new £130m facility. Despite Victoria Plc being a listed entity, the Company has not disclosed the tenor or pricing on the new facility. The new facility combines term loans and revolving elements, with no maintenance covenants or drawing restrictions.

However, the 2026 bond maturity still looms, and prices indicate the widely held opinion that the 2026 bonds will receive preferential treatment over the 2028 bonds. The preferred equity tranche from Koch Equity Development further complicates any restructuring.