19/12/2012 London Stock Exchange Group welcomes Alpha Plus Holdings plc to the Order Book for Retail Bonds, the first secured bond available to investors
London Stock Exchange Group (LSE Group) today welcomes Alpha Plus Holdings plc (Alpha Plus), a leading provider of private education, to its Order Book for Retail Bonds, with the launch of its secured 5.75% 2019 retail bond, which raised £48.5 million.
The bond is secured against a portfolio of freehold Central London real estate comprising a number of its schools. Alpha Plus is owned by DV4 Limited which is advised by Delancey Real Estate Asset Management Limited. The Group owns and operates 19 high quality independent schools, nurseries and sixth form colleges throughout the UK.
Sir John Ritblat, Chairman of the Board of Directors of Alpha Plus, Chairman of The London Business School and former Chairman of The British Land Company PLC, said:
“We are very pleased to be the first privately held and unrated company to have issued a retail bond, as well as the first company to have issued a retail bond with security. We believe the success of the offer is a clear reflection of the quality and strength of the Alpha Plus business, its management team and its reputation for delivering a Gold Standard in education provision. Furthermore, it underlines the attractions to bond holders of securing the bond against a high quality portfolio of London schools.”
Graham Able, Chief Executive Officer, Alpha Plus, added:
“The Alpha Plus Group has developed a strategy which focuses on organic growth, strategic acquisitions and delivering a ‘Gold Standard’ educational offering for pupils. Parents choose schools on their reputation and place particular emphasis on examination results and the destinations of leaving pupils. We are delighted to have secured financing which liberates us from the restrictive covenants required by banks and which will allow us the flexibility to run the company and look for suitable expansion opportunities.”