26 Sep 2016 07:00
26 September 2016
CAPITAL & COUNTIES PROPERTIES PLC ("Capco")
£175 million US Private Placement debt for Covent Garden
Capco announces that Covent Garden Group Holdings Limited, the holding company for Capco's Covent Garden assets and a wholly owned subsidiary of Capco, has signed an agreement with five US institutional investors for a private placement of £175 million 10 year and 12 year senior unsecured notes.
The issue consists of two tranches: £125 million at a fixed coupon of 2.28% due 2026 and £50 million at a fixed coupon of 2.37% due 2028. The proceeds will strengthen the Group's capital structure and provide greater financial flexibility and resources. Closing and funding of the transaction will occur in November 2016. The new issue will share the same financial covenants as the existing £150 million private placement notes issued in December 2014 and the £705 million bank revolving credit facility signed in December 2015. Proceeds of the issue will be used initially to repay the bank facility.
Soumen Das, Chief Financial Officer of Capco, commented: "We are delighted with our second US Private Placement issue and the support we have received from our investors. We have benefitted from the all-time low gilt rates to lock in long-term debt which extends Capco's weighted average debt maturity to 5.7 years, and increases our available facilities by £175 million at a highly attractive weighted average coupon of 2.3%."
-ENDS-
Enquiries
Capital & Counties Properties PLC:
Ian Hawksworth | Chief Executive | +44 (0)20 3214 9188 |
Soumen Das | Chief Financial Officer | +44 (0)20 3214 9183 |
Michelle McGrath | Director of IR & Investment, Covent Garden | +44 (0)20 7297 6093 |
Media enquiries:
Sarah Hagan | Director of Communications & Marketing | +44 (0)20 3214 9185 |
UK: Tulchan | Susanna Voyle | +44 (0)20 7353 4200 |
SA: Instinctif | Frederic Cornet | +27 (0) 11 447 3030 |
Barclays Capital Inc.:
Akshay Shah | Managing Director | +44 (0)20 7773 8400 |
Notes to Editors
About Capital & Counties Properties PLC (Capco):
Capital & Counties Properties PLC is one of the largest investment and development property companies that specialises in central London real estate and is a constituent of the FTSE-250 Index. Capco holds assets valued at £3.6 billion (as at 30 June 2016) in two landmark London estates: Covent Garden, which has assets valued at £2.1 billion including the historic Market Building, and Earls Court Properties including the Empress State Building together with the Venues business amounting to aggregate property assets of £1.5 billion. The company is listed on the London Stock Exchange and the Johannesburg Stock Exchange.
www.capitalandcounties.com