The EVT Ltd (ASX: EVT) share price is pushing higher on Wednesday after the company released an update this morning.
At the time of writing, EVT shares are up 1.28% to $12.69.
Despite today’s gain, the stock remains under pressure over a longer period, down close to 7% over the past 12 months.
Here’s what the company announced to the market.
Refinancing lifts flexibility
EVT revealed it has successfully completed a refinancing of its debt facilities, increasing its total available funding to $750 million.
This marks an uplift from the previous $650 million facility and comes alongside the group’s ongoing divestment of non-core assets.
Management said the new structure provides greater flexibility as EVT continues shifting its earnings mix toward its hotel operations.
The updated facilities include a $750 million revolving multi-currency loan and a smaller $5 million credit support facility, with a 3-year term.
Pricing on the debt is linked to leverage levels, with margins ranging between 1.25% and 2% per annum. EVT expects a weighted average of around 1.59%.
Backing from major lenders
The refinancing has been supported by a group of major banks, including Commonwealth Bank of Australia (ASX: CBA), HSBC, National Australia Bank Ltd (ASX: NAB), and Westpac Banking Corp (ASX: WBC).
The facilities are secured against a portion of EVT’s property portfolio, with mortgages linked to 14 of the group’s 34 properties.
At the time of refinancing, EVT reported drawn debt of around $610 million, along with more than $90 million in cash.
This leaves the company with additional liquidity and headroom to manage operations and potential investment opportunities.
Management noted strong support from lenders throughout the process, which may help reinforce confidence in the group’s financial position.
What’s driving the share price?
The gain seems to be driven by clearer visibility around EVT’s debt position, with the refinancing giving investors more confidence in how the company is financed.
By refinancing the debt, this removes near-term uncertainty and provides a clearer picture of funding costs and the capital structure.
It also aligns with EVT’s broader strategy of simplifying its portfolio and focusing more heavily on its hotel segment.
Foolish Takeaway
EVT’s refinancing strengthens its balance sheet position and provides additional flexibility as it continues to reshape the business.
While the share price has lifted on the news, the stock remains below levels seen in August 2025.
The update reduces funding uncertainty, but longer-term performance depends on how the company executes its strategy and grows earnings over time.
The post A major funding move is lifting this ASX stock today appeared first on The Motley Fool Australia.
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More reading
- EVT completes $750 million refinancing, focuses on hotel growth
- 35 ASX All Ords shares with ex-dividend dates next week
HSBC Holdings is an advertising partner of Motley Fool Money. Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended HSBC Holdings. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.