Polypipe secured a £160m funding package from a syndicate of banks to fund the manufacturing group’s flotation earlier this month.
Lloyds Bank Commercial Banking coordinated the deal, alongside RBS, Santander and Barclays, which provided the company with a £120m term loan and a £40m standby revolving credit facility.
Polypipe used the £120m loan to repay an existing corporate bond which was at a higher rate of interest and provided by lots of different investors via the capital markets.
A Lloyds spokesman said: “The new arrangement also provides a greater degree of flexibility – Polypipe can dip into the revolving credit facility, similar to an overdraft, as and when they need access to capital. A corporate bond does not offer this kind of flexibility.”
Founded in 1980, Polypipe is now one of Europe’s largest manufacturers of plastic piping systems, producing over 20,000 product lines. It has a turnover of £300m and more than 2,000 employees at 16 facilities across the UK, Europe and Middle East.
The IPO marks a return to the stock market for the plastic piping systems manufacturer after a 14-year absence.
In the move the firm was valued at about £490m.