Victoria seeks loan extension

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London-listed carpet maker Victoria is in discussions with existing lenders on extending a two-year EUR445m term loan, due to mature in August 2020.

Barclays and HSBC provided the loan in August 2018 to refinance the group’s debt and fund the EUR96.7m acquisition of Spanish houseware manufacturer Ceramica Saloni.

Victoria had planned to take out the loan via a debut five-year EUR450m bond in November.

However, the proposed issuance was scrapped due to unfavourable conditions, resulting from investor pushback and speculation.

Many investors believe the company is overvalued, given its recent string of acquisitions, which is speculated to have bloated the share price beyond reasonable bounds.

In the last six years, the company has acquired 13 businesses.

Victoria manufactures flooring products, including carpets, underlay, luxury vinyl tiles (LVT), artificial grass and flooring accessories. Its products are targeted at the mid to high-end residential and commercial sectors.
 
It is the UK's largest carpet manufacturer and the second-largest in Australia.