Brait board members directors’ fees reduced by 25% for the quarter between April and June
DURBAN - Investment holding company Brait said yesterday it has completed the refinancing of its R6.3 billion revolving credit facility held by its subsidiary Brait MauritiusLimited (BML), effective March 31.
The group said the facility has a three-year tenor to March 31, 2023 and the interest at a rate of Jibar plus 4.6 percent applies, with the margin decreasing as utilisation reduces.
Brait said its board members have volunteered a reduction of their directors’ fees by 25 percent for the quarter between April and June to deal with the impact of Covid-19 outbreak.
This will also include senior executives at Ethos Private Equity, Brait’s advisors, have also reduced advisory fee for the quarter by 25 percent.
Brait, which has invested in Virgin Active, New Look, Iceland Foods and Premier, said all of the portfolio companies have proactively implemented plans to mitigate the impact of the Coronavirus.
“In some instances this is focused on reducing costs, preserving cash and maximising liquidity. In other cases, the challenge is to ensure the portfolio companies can deliver demand for their customers in a safe and healthy manner,” the group said.
In Virgin Active, its shareholders have approved a capital injection of £20 million (R453.03m) to enable Virgin Active to navigate through the current exceptional circumstances as a result of Covid-19.
Virgin Active has closed its clubs across all territories as part of those governments’ initiatives to limit the spread of the virus while certain territories are now at relatively advanced stages of allowing clubs to re-open.
In New Look, the retailer closed its stores from March 21, iIn line with other clothing retailers in the UK, with trading continuing through its online and third party e-commerce businesses.
“The UK government’s announcements of relief from business rates and taxes and government subsidies for salaries for affected staff continue to provide support to the company,” the group said.
The food retailer, Iceland Foods, has continued to experience strong sales, particularly in the frozen food category in the UK and its management have continued to focus on ensuring continuity of the supply chain to ensure customer demand can be met.
BUSINESS REPORT ONLINE