Pinewood Group raising £30 million for expansion
by Naman Ramachandran
- Group has also agreed new bank facilities of £135 million with Lloyds, RBS, HSBC and Barclays
Leading studio players, the Pinewood Group, is planning to raise £30 million in funds by issuing shares. The net proceeds of some £28.7 million will be used to part fund the first phase of development of the Pinewood Studios Development Framework (PSDF) at Buckinghamshire, UK. The company has also announced that new bank facilities of up to £135 million have been agreed with Lloyds Bank, The Royal Bank of Scotland, HSBC Bank and Barclays Bank.
Ivan Dunleavy, Chief Executive Officer, said, “Today’s announcement represents another significant step forward in the ongoing development of the Company and the implementation of PSDF to the benefit of shareholders as a whole and the UK creative industries. The Board is encouraged by the visibility of the level of forward bookings for the next financial year.”
The first phase of the PSDF will comprise five new large stages, which will increase the overall studio production space at Pinewood Studios by approximately 50 per cent. The cost of construction of phase 1 of the PSDF is anticipated to be approximately £65 million. Phase 2 and 3 will follow and the total expansion cost will be some £200 million. Each phase is expected to take five years to complete.
Pinewood is now operating at near full capacity and the opening of the new phases will allow the studio to further participate in the wave of enhanced international productions using the UK as a production destination thanks to generous tax incentives.