Archives: Credential

Why does this transaction matter?

Centrus worked with Estuary to complete this transaction whilst Estuary were a G2 rated entity.
Full banking restructure resulted in material portfolio enhancements, including:

• Full EBITDA MRI ICR removal, including from one private placement, on favourable terms to market – materially booting capacity.
• Implementation of Estuary’s first loan linked ISDAs, ensuring hedging flexibility during volatile conditions.
• Removal of material short-term refinancing risk, boosting the banking WAL from 4 to 7 years.
• Streamlining of the portfolio by removing 2 lenders, all on an NPV positive basis, following successful negotiations with lenders.
• Raised £75m of new funding on competitive terms across a range of tenors to best meet Estuary’s funding need.
• Implementation of two loan-linked ISDAs, ensuring future hedging flexibility.

What value did Centrus add?

• Full project management from strategy formulation to final documentation, helping minimise Estuary’s time requirements whilst maximising project benefits.
• Regular and clear reporting, tailored to the audience (Executive, Committee and Board) to ensure clear recommendations and progress tracking.
• Supported on complex negotiations across banking and capital market counterparties, leveraging our relationships and extensive sector knowledge to ensure the best possible outcome. 
• Supported and guided Estuary through setting up and executing their first loan-linked ISDAs, complete with all relevant training & updating of relevant internal policies.

“We are thrilled to have worked with Centrus in securing the restructure on favourable terms, helping ensure Estuary’s treasury portfolio can support the business as we move forward with our investment aims. Centrus have been a highly dependable partner throughout the process, providing top quality analysis and advice. This combined with their clear style of communication, has ensured that we have had full confidence in the process and the benefits it has and will provide.”

Michael Hadjimichael, CFO – Estuary

For more information, please contact Tom Miller, Director, Housing, Education & Care.

Why does this transaction matter?

Optimising the treasury platform enables Beacon to deliver more for customers & residents, with £85m of new funding and increasing debt capacity for stock investment and the development of new homes.

What value did Centrus add?

• Sole financial advisor engaged to develop treasury strategy, construct combined business plan, lead on lender negotiations, provide assurance reporting to Board’s and project manage to completion deadline.
• Merger created an opportunity to renegotiate and restructure bank finance with significantly enhanced terms, reducing treasury risks while improving operational flexibility.
• Effective positioning of a strengthened credit risk profile enabled £85m of new funding to be arranged on highly attractive terms, bolstering liquidity to fund growth in the combined business plan.
• 91% of value at risk protected in existing debt facilities.
• Target financial covenant levels achieved with harmonised definitions, lowering covenant risk and increasing financial resilience by £30m p.a. on average over the next 5 years.
• Greater corporate freedoms around financial support and future merger consents negotiated, ensuring Beacon is ready for the future.

“The quality of the advice and support we have received during the merger was exceptional. At an operational level, the lead Centrus took on business planning and lender negotiation processes that underpinned developing and delivering our business case ensured timelines were met and outcomes maximised. At Board level, the assurance provided smoothed decision making and enhanced governance. The Centrus team is first rate; they have made my life easier, and our business stronger.”

Sian Evans, Interim Executive Director of Finance – Beacon

For more information, please contact Jonathan Spearing, Director, Housing, Education & Care.

What value did Centrus add?

Strategic treasury support and transaction leadership

• Centrus played a central role in supporting Home Group with the successful completion of £260m in new revolving credit facilities and the restructure of £415m of existing facilities. Our engagement began with a comprehensive review and refresh of Home Group’s treasury strategy, culminating in Board approval in November 2024.
• Drawing on our deep sector knowledge and real-time market intelligence, we supported the Executive and Board through a volatile environment — helping them balance risk, cost, and opportunity through a strategy grounded in robust analysis and aligned with long-term goals.
• Following this, Centrus worked closely with Home Group to execute the strategy, providing strategic advice, coordinating lender engagement, and leading negotiations with both existing and new lenders to ensure competitive tension and maximise value.
• The outcome saw facilities increase from three long-standing lenders – Lloyds, HSBC, and Nationwide – and the introduction of a new lender, Barclays.

How did this transaction benefit Home Group?

• This new funding significantly strengthens Home Group’s liquidity position, reinforcing its funding platform ahead of a future return to the capital markets. 
• The new RCFs deliver exceptionally strong commercial terms, with the overall cost of carry on new facilities among the lowest Centrus has seen in recent years.
• Financial covenants were harmonised across facilities, simplifying the position and unlocking additional financial capacity.

“We are very grateful for the support the Centrus team provided as we jointly developed and executed the latest iteration of our treasury strategy. We worked very collaboratively throughout, with the right levels of test and challenge and good humour on both sides which very much built on our existing partnership. Our strong relationships with our lender base and positive credit story together with Centrus’ extensive, current sector knowledge delivered a very positive outcome for us commercially and allowed us to standardise and simplify covenants. We have enjoyed working with the Centrus team on this refinancing and they have delivered significant value and assurance through their insight and engagement.”

Steve Hallowell, Director of Treasury and Investor Relations – Home Group

For more information, please contact Thomas Archer, Director, Housing, Education & Care or Lawrence Gill, Director, Housing, Education & Care.

Why does this transaction matter?

Optimising the treasury platform enables Hedyn to deliver more for customers & residents, utilising cost efficiencies and increased debt capacity for stock investment and the development of new homes.

What value did Centrus add?

• Sole financial advisor engaged to develop treasury strategy, construct combined business plan, lead on lender negotiations, provide assurance reporting to Board’s and project manage to completion deadline.
• Merger created an opportunity to renegotiate and restructure bank finance with significantly enhanced terms, reducing the weighted average margin and treasury risks while improving operational flexibility.
• Effective positioning of a strengthened credit risk profile enabled £60m of new funding to be arranged on highly attractive terms, bolstering liquidity to fund growth in the combined business plan.
• 100% value protected in existing capital markets facilities.
• Target financial covenant levels achieved with harmonised definitions, lowering covenant risk and increasing financial resilience by £25m p.a. on average over the next 5 years.
• Greater corporate freedoms around financial support and future merger consents negotiated, ensuring Hedyn is ready for the future.

“Centrus have provided us with a fantastic service throughout the merger process. The experience and professionalism of Paul and the team have been second to none. Together, we’ve maximised opportunities, and navigated complexities, to achieve this great result.

Thanks to the merger of Melin and Newport City Homes, we can create even greater capacity. And, through Hedyn, we can invest more to serve our customers and communities – and enable our colleagues to make a greater impact through the work they do.”

Gareth Yeoman-Evans, Executive Director of Finance and Resources – Hedyn

For more information, please contact Thomas Archer, Director, Housing, Education & Care or Paul Stevens, Executive Director, Housing, Education & Care.

Why does this transaction matter?

• Prior to the raise, Muir Group’s existing RCF had restrictive covenants and was nearing maturity.
• Centrus advised on addressing these risks by securing a new £40m RCF that enhanced covenants, strengthened liquidity and extended the facility term, all supporting Muir Group’s growth strategy while ensuring value for money.

What value did Centrus add?

Developed the treasury strategy: Centrus leveraged our market-leading sector insight to develop a treasury strategy which:

• Lowers refinancing risk and improves the debt maturity profile
• Reduces covenant risk
• Bolsters overall liquidity
• Strengthens overall hedging ratio

Arranging and executing funding:

• Centrus led a structured and competitive funding process that identified cost-effective and covenant supportive lenders, before recommending an option that aligned with Muir Group’s strategy.
• The documentation and execution process was managed by Centrus to close, with assurance reporting provided throughout.

“We are extremely pleased to have completed this RCF raise and are delighted to have had Centrus’ support and expertise throughout the process. The Muir Group team and board members have benefitted from the confidence and clarity provided by Centrus.”

Nia Hughes, Executive Director of Resources – Muir Group

For more information, please contact Lawrence Gill, Director, Housing, Education & Care or Mithun Kathirgamanathan, Assistant Director, Housing, Education & Care.