Update – Acquisition of Aged Care Facilities

NZX Release 30 September 2020 Update - Acquisition of Aged Care Facilities Promisia Integrative Limited (NZX: PIL) (PIL) wishes to update the market regarding the acquisition of aged care facilities from the Brankin Family Trust and related transactions (the Proposed Transaction). Debt Funding PIL is making pleasing progress with securing the debt funding it requires for the Proposed Transaction. PIL has entered a conditional term sheet with a New Zealand bank for $13 million of lending and a conditional term sheet with a non-bank lender with specialist aged care sector experience for a further $5 million. Conditions in the term sheets are still being worked through including final due diligence, priority arrangements and financial covenants. At present the weighted average interest rate on these facilities would be a maximum of 5.89% per annum with PIL having the ability to reduce this rate if it elects to fix the interest rate under certain facilities. The lending term of all facilities ranges from 3 to 5 years. Further particulars of the debt facilities will be advised to market once further conditions for the lending are satisfied and final terms are agreed. Transaction Timetable and Completion PIL and the Brankin Family Trust have entered an extension agreement to allow until 31 October 2020 for completion of the Proposed Transaction to occur. PIL's next key steps are re-documenting the equity commitments for the Proposed Transaction and satisfying the conditions for the debt facilities described above. Subject to completing these steps, PIL is targeting a 15 October completion date. PIL will update the market with further developments in due course. ENDS For further information please contact Mr Stephen Underwood, Chairman on 027 499 3387. End CA:00360701 For:PIL Type:TRANSACT Time:2020-09-30 15:47:47