Tamar European Industrial Fund t (TEIF) said on Thursday that it has received approval from PBB Deutsche Pfandbriefbank for an extension of its existing EUR 88 mln debt facilities.

The facility will be extended for a period of 3.5 years from the current maturity of November 2011. The cost of finance will be 6.5%. The extension is subject to further standard conditions and signing of final legal documents.

In December 2010 the fund signed a EUR 94 mln refinancing with Deutsche Bank of both of its existing Royal Bank of Scotland debt facilities.

Rob Brook, managing director of Tamar Financial Services, commented: 'Given the current challenging market conditions, particularly the tightening bank lending, it has been a pleasing result to complete the refinancing of the RBS debt before Christmas and now to have secured a positive solution for the PBB extension.'