Just Annual Report and Accounts 2024

194 | Just Group PLC | Annual Report and Accounts 2024

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS continued

24. LOANS AND BORROWINGS

Carrying value

Fair value

31 December 2024 £m

31 December 2023 £m

31 December 2024 £m

31 December 2023 £m

£250m 9.0% 10-year subordinated debt 2026 (Tier 2) issued by Just Group plc (£150m principal outstanding) £125m 8.125% 10-year subordinated debt 2029 (Tier 2) issued by Just Group plc £250m 7.0% 10.5-year subordinated debt 2031 (Green Tier 2) issued by Just Group plc £400m 6.875% 10.5 year subordinated debt 2035 non-callable for first 10.0-years (Sustainability Tier 2) issued by Just Group plc £230m 3.5% 7-year subordinated debt 2025 (Tier 3) issued by Just Group plc (£155m principal outstanding) 1

152

163

164

125

126

136

127

–

251

–

252

405

–

407

–

157 839

157 686

156 862

151 694

Total

1 The Group’s Tier 3 debt is repayable within one year. The £400m 6.875% bond is callable after 30 September 2034. The maturity analysis in note 28(d) assumes it is called at the first possible date. The Group does not expect there to be any breaches to report in the attestations to be made to lenders in March 2025 and there are no indications that the Group may have difficulties complying with the covenants over the forthcoming 12 months. The Group also has an undrawn revolving credit facility for general corporate and working capital purposes. During the year the size of the facility has been increased from £300m to £400m. Interest is payable on any drawn amounts at a rate of SONIA plus a margin of between 0.81% and 1.94% per annum depending on the Group’s ratio of net debt to net assets and the outcomes of certain sustainability performance targets. Movements in borrowings during the year were as follows:

Year ended 31 December 2024 £m

Year ended 31 December 2023 £m

At 1 January

686

699

Coupon payments

(46)

(48)

Proceeds on issuance of Just Group plc Tier 2 subordinated debt

400

– –

Issue costs

(2)

(256)

(24) (72)

Repayment of Just Group plc Tier 2 subordinated debt 1

Financing cash flows

Transfer brought forward interest from accruals Interest charged at the effective interest rate

–

10 48

Tender premium on redemption of Tier 2 subordinated debt

6 1

– 1

Amortisation of issue costs

Amounts reported in the statement of comprehensive income

At 31 December

839

686

1 In 2024, 7.0% 10.5-year Tier 2 subordinated debt included £6m tender premium on redemption of the Tier 2 subordinated debt was repaid (2023 repayment is in respect of the Group’s 9.0% 10-year Tier 2 subordinated debt). During the year the Company completed a refinancing exercise which consisted of the issuance of a £400m 10.5-year sustainability Tier 2 bond with a coupon of 6.875% and concurrent tender offer of Just’s existing £250m 7.0% Green Tier 2 bond.