30. INTEREST-BEARING LOANS 
Company Group
2024
Rm
2023
Rm 
2024
Rm
2023
Rm 
Interest-bearing loan
Current portion  500  – 
Non-current portion  –  500 
500  500 
Movements in interest-bearing loans for the year: 
Opening balance  500  552 
Drawings on facilities  –  – 
Finance cost charges  41  48 
Payments  (41) (100)
Closing balance  500  500 

An interest-bearing loan of R500 million bears interest at three-month JIBAR plus 1,3% and is repayable in full in November 2024. From June 2022, an interest rate swap was entered into to fix the variable interest rate at 6,85% on the loan amount of R500 million. The loan is a financial liability measured at amortised cost in terms of IFRS 9. A revolving credit facility of USD3,5 million (R52 million) was repaid at the end of June 2023. The facility was settled early (repayment was due in November 2025) given increased interest and foreign exchange rate exposures related to the facility.

Management has negotiated general banking facilities with the intention of drawing down on these to early settle the R500 million loan. These facilities are on demand, subject to annual renewal.

All debt covenants have been fulfilled. Covenants include:

  • net interest-bearing debt divided by EBITDA (not greater than 2:1); and
  • EBITDA dividend by finance charges (not less than 4:1).