The board of The Merchants Trust Plc announced that the company is repaying £16 million of debt under its revolving credit facility. This will take the company's total debt to £93 million, and gearing to around 15%. The board and manager decided to reduce gearing after a period of strong equity market and portfolio returns. The board's formal policy is unchanged and is to maintain gearing in the range of 10%-25% (measured at the time that any increase in total borrowing facilities is agreed).