Peel Hunt analysts have downplayed Learning Technologies Group plc’s exposure to Silicon Valley Bank’s collapse.
Out of its £110.7mln cash reserve, the company had £9.4m deposited with SVB and £2.3m with SVB UK as of Marck 10.
Learning Technologies requested a withdrawal from SVB on Friday, of which it has received £300,000 m to date.
Peel Hunt noted the group’s diversified banking syndicate comprising Barclays, HSBC, Bank of Ireland (LSE:BKIR), Fifth Third Bank and SVB, of which SVP was the facility agent. A new facilities agent and lender will be pursued in due course.
It has a term loan of US$$255.4mln (of which SVB provided US$53.7m) and an undrawn revolving credit facility of US$50mln (of which SVB provided US$10.5m).
“Overall, the exposure to SVB is not material,” said Peel Hunt, while reiterating its buy rating with a target price of 200p
Shares fell 3.5% to 132.2p on Monday morning.