Chrysalis secures £70m debt facility to boost liquidity for share buybacks

Part of potential £100m capital returns

Chrysalis Investments (CHRY) has agreed a £70m debt facility with Barclays Bank, which the trust intends to fully draw down to boost liquidity for share buybacks.

In October last year, when the trust's discount stood at nearly 60%, the board proposed a change to the capital allocation policy, with the aim of returning the first £100m of cumulative future realisations to shareholders, subject to it retaining a liquidity buffer.  Under the proposed changes, Chrysalis would maintain a working capital or liquidity buffer of up to £50m to ensure funds are available to support portfolio companies, if needed, as well as to cover fees and other running costs of the business. In a stock exchange notice today (25 September), the trust said the debt facil...