Listed firm Knights plc today announced a renewed loan deal to fund another raft of potential acquisitions. The national firm reported to the London stock exchange it has agreed an extended revolving credit facility with Allied Irish Bank (AIB).
The loan is worth £27m until June 2023, replacing the group’s existing £18m facility with the same bank but on improved terms.
David Beech, Knights chief executive, said the money gives the business ‘increased flexibility and additional headroom’ to execute its long-term strategy.
‘We look forward to continuing to develop the business both organically and through the selective acquisition of high calibre firms which enhance our expertise and geographical presence outside London and drive shareholder value,’ he said.
The Knights share price was unchanged following today’s announcement, although over the course of this year the company has performed well.
Shares traded today for around 286p, having reached an all-time high of 311p last week and having risen considerably from 175p at the turn of the year.
So far in 2019, Knights has purchased two firms and Beech has said there is scope for four acquisitions each calendar year.
The firm has suggested it would like to expand in the West Midlands but has ruled out opening a London office, citing the competition to recruit talent.
Knights floated on the AIM market of the stock exchange last year, becoming one of just a handful of existing law firms to trade their shares publicly.