Pyrrho Investment Ltd, the largest independent shareholder in MWB Group, has expressed deep concerns with many of the terms of the operator of the Malmaison and Hotel du Vin brands recent refinancing. Last month, the operator of the Malmaison and Hotel du Vin hotel chains agreed with its banks and Riverland – an associate of RBSM Investments – to extend a major part of its £282.5m facility to the end of 2014. The refinancing includes an agreement to increase interest payable on £35m of preference shares owned by RBS from 5% to 16.3% immediately, which then rises to 20% in 2015. Pyrrho Investment, which holds a 24.4% stake in MWB said the refinancing represented a significant transfer of value in the company from shareholders to banks and to RBSM Investments, the holder of the Malmaison preferred shares. It said it would now request a seat on the board of MWB and has published a list of questions it intends to ask at the group’s extraordinary general meeting later today, including whether it will be forced to sell assets to pay down more debt. Earlier this year, Pyrrho a minority shareholder in MWB Business Exchange, called for clarification from MWB Group regarding its possible offer for the work station provider. Yesterday, MWB Group was given a one month extension to the “put up or shut up” deadline on the deal.