A subsidiary of troubled housebuilder Inland Homes has breached banking covenants relating to a £13.6m loan from HSBC.
The housebuilder said it is in “active discussions” with HSBC to secure waivers for the breaches. The loan was made to a subsidiary called Inland Homes Developments.
Inland has drawn around £11m under this facility from HSBC to date. It said a further announcement will be made in due course.
Trading in the housebuilder’s shares was suspended in April this year.
Earlier this year, the group had renegotiated covenants on a revolving credit facility with HSBC drawn at £22.7m, as well as a £26m loan from Secure Trust Bank.
The revolving credit facility with HSBC was set to expire in October this year and was secured on the housebuilder’s ongoing developments at Meridian Waterside in Southampton and Cressing in Essex.
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