Newry-headquartered technology company First Derivatives said it has agreed extended bank facilities of £130 million (€147.7 million) as it plans its future growth.

The new five-year facilities, which are being arranged by Bank of Ireland with participation from Barclays, First Trust Bank and Silicon Valley Bank, include a term loan of £65 million and a revolving loan facility of £65 million.

The new arrangements will refinance the group’s existing borrowings, and will also be partly used to finance the previously announced acquisition of the minority shareholding in Kx Systems. The company said in November it would take 100 per cent ownership of Kx Systems by the end of June 2019. It currently has a controlling interest in the firm.

The term loan and the revolving loan facility will have an interest rate for the first 12 months of Libor plus 2.75 per cent, with subsequent rates ranging from Libor plus 2 per cent to Libor plus 3 per cent, depending on the level of debt relative to earnings before interest, taxation, depreciation and amortisation.

“The extended bank facilities provide certainty regarding our funding requirements and the flexibility, should it be required, to act quickly to advance our growth plans,” said Brian Conlon, chief executive of FD.