Burges Salmon assists HSBC in an £18.5m refinancing deal
Fuelling Safestay's expansion plans in the hospitality sector
Burges Salmon has successfully advised HSBC on a substantial £18.5 million refinancing deal with Safestay, an AIM-listed company renowned for its contemporary hostels. The collaboration involved a Term Loan and a new Revolving Credit Facility, aimed at supporting Safestay's ambitious growth strategies, notably its recent acquisition of a property in Edinburgh.
The transaction was spearheaded by Burges Salmon's proficient team, with partner Katie Allen, associate Samir Younes, and trainee solicitor Georgia Hanson leading the banking and finance aspects. Simultaneously, partner Robert Forman and director Christopher Bartlett provided crucial insights on the real estate facets of the deal.
Katie Allen expressed her satisfaction, stating, "It has been a pleasure to facilitate this significant refinancing on behalf of HSBC, affirming our client’s confidence in the Safestay group and supporting the company’s future growth plans."
Christopher Liddiard, relationship director at HSBC, emphasised the growing allure of hostels in the hospitality sector post-pandemic. He noted, "Since the pandemic, hostels have become an increasingly exciting, growing segment of the hospitality industry, and supporting Safestay’s growth strategy reflects our wider focus at HSBC UK of supporting across the full spectrum of accommodation businesses."
Burges Salmon's Banking and Finance team, known for handling intricate financing transactions globally, played a pivotal role in this deal. The firm's Built Environment sector group, nationally recognised for strategic legal advice in UK property matters, contributed expertise in developing, investing in, and occupying various forms of UK property. The client base of the Banking and Finance team includes some of the world’s largest banks, building societies, over 50 financial institutions, as well as numerous PLCs and large corporate clients worldwide.
The successful completion of this refinancing deal underscores Burges Salmon's commitment to facilitating strategic financial transactions and supporting the growth and expansion plans of its clients in the dynamic hospitality industry.