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Pendragon in talks with lenders after reviewing finances
01.04.09
British car dealer Pendragon Plc said it was reviewing its financing structure amid the economic downturn, and was in talks with its lenders to make changes to its loan terms.
The company's shares, which rose 43% over the past one week, were up 17% at 8.35 pence this morning.
"We are having discussions with lenders regarding changes to our loan agreements which would make them more appropriate for anticipated future trading conditions," the company said in a statement in response to a rise in its share price.
Pendragon's move to streamline its finances follows a similar strategy adopted by bigger rival Inchcape.
Inchcape had said in December it was in talks with its lenders for a possible change in its financing arrangements to weather a downturn in trading in 2009.
