Alternative Income REIT flags lender rights following change of control

Alternative Income REIT ($AIRE-LSE) received a reservation-of-rights letter from HSBC concerning its £41 million facility after Glenstone’s offer became unconditional. That event triggered the facility’s change-of-control provisions. HSBC is no longer obliged to fund further drawings and can demand repayment of outstanding amounts, together with accrued interest.

The bank has not requested repayment, and the REIT said it continues to meet obligations and operate normally. It has introduced HSBC to Glenstone so they can discuss the financing position. The announcement identifies a potential funding and repayment issue rather than an actual acceleration of the loan. The £41 million figure describes the facility agreement, not a newly demanded cash payment or confirmation that the full facility is drawn.

Sources:

• Alternative Income REIT — financing update