(who has been critical of FirstPort in the past)
Firstport the controversial property management company, have recently negotiated a major re-financing package with Lucid Trustee Services and investors Equistone.
This follows the failure by Firstport’s previous investors to sell the company and their subsequent decision to withdraw from their involvement with Firstport.
Already crippled by net debts of up to £41,000,000 and paying interest charges of between 9% and 15%, Firstport urgently had to seek new investment?
Between Lucid Trustee Services and Equistone, it is believed that funding has now been secured amounting to £81,700,000, repayable in October 2026.
Interest will be rolled up to that date. Thus far, the interest rates for the loan remain confidential.
As part of the re-financing Firstport has been restructured.
Inter-company loans amounting to several millions of pounds have been written off.
This is thought to have contributed to the dramatic increase in losses at the majority of Firstport companies.
Firstport also had to raise £20,000,000 by selling their interests in the leaseholds of residential house manager’s flats.
The lenders have taken a primary charge on all Firstport assets. This means they have first call before anyone else should Firstport fail again?
Of great significance, is that the restructure separates the highly profitable Careline business(Appello) from its Firstport sibling.
This means that in the case of a Firstport default, the Appello division will remain unscathed from any fall out as a consequence of this.
Financiers such as Lucid and Equistone are skilled operators that know how to turn a profit whether the company they invest in succeeds or not?
That is the market they operate in?