Gatemore agrees loan to DX Group

Gatemore Capital Management has agreed to the terms of a £2m loan to DX Group. Gatemore, which is a major shareholder in the logistics company, said that the loan will provide the foundations for DX Group to secure re-financing, clean up its balance sheet, and give the board the flexibility needed to implement a turnaround strategy.

Liad Meidar, Gatemore’s CIO, commented: “The DX board is taking all the steps we would expect of a company poised to begin an effective corporate turnaround – cleaning up the balance sheet in advance of the upcoming financing and preparing for the new board appointees to take over.

“The Gatemore loan has enabled the company to pay down HSBC’s term loan while retaining the freight hub in Willenhall.  This gives the company greater financial and operational flexibility, setting the stage for the refinancing.  We expect to roll our loan shortly into the new financing, positioning DX with a healthy balance sheet and a new start under proven leadership.”