- Read Hayward Tyler's debt repayment deadline extended
- Read Hayward Tyler: Short-term pain, long-term gain
The repayment date for £2.4mln of short-term borrowings has been extended from 31 March 2017 to 30 April 2017 and the annualised measurement of the financial covenants has also been put back from 31 March 2017 to 30 April 2017.
The rescheduling will give the specialist engineer and its bank, the Royal Bank of Scotland, more time to ensure a suitable long term financing structure is in place to support the longer term prospects of the business.
Meanwhile, the company, which saw its share price dented last year when it revealed some orders were taking longer to close than originally envisaged, proved it was not just trying to put a positive spin on things when it said the orders had merely been delayed rather than lost, as it announced another contract win.
It has won a nuclear-related order through its US business for the domestic US market.
The contract announcement follows hot on the heels of Tuesday’s announcement of a number of new orders, also won through its US operations, totalling $8.3mln (circa £6.8mln) from Korea Hydro Nuclear Power.
The latest contract is valued at US$2.0mln and is for seven units, which are due for delivery during fiscal years 2018/19/20.
The agreement will see Hayward Tyler retrofit existing reactor water clean-up motors with its state of the art seal-less technology for a 3,400 megawatt US nuclear facility.
"We are very pleased to announce another contract win within the group, a win that demonstrates our determination to turn the extensive order pipeline into new order intake. We have a strong reputation within the US market and it is promising to see that our capabilities and products continue to meet demand, providing operating value to our customers,” said Ewan Lloyd-Baker, chief executive officer of Hayward Tyler.
“Our bank, RBS, continues to be supportive through our ongoing journey and we are working together to find the optimal funding structure for the group to support its long term development," he added.
The shares have taken a beating this year, falling 44%, but are up 10% this week.
More to follow ...