IERE.L Regulatory News (IERE)

RNS Announcement 

6 August 2014

INVISTA EUROPEAN REAL ESTATE TRUST SICAF

("IERET" or the "Company")

SENIOR LOAN REFINANCING OF IERET'S DEBT FACILITY

The Board of IERET is pleased to announce that, as provided for in the €222 million credit facility agreement entered into on 30 April 2014 with Blackstone Real Estate Debt Strategies ("BREDS"), an affiliate of the Blackstone Group LP ("Blackstone"), the facility has been refinanced, with €100 million of senior debt provided by Bank of America Merrill Lynch International Limited and €122 million of mezzanine debt provided by BREDS.

The initial blended cost of debt to the Company remains 770bp over three month EURIBOR, with a similar provision as existed in the earlier facility for the blended cost to be reduced to 470bp over three month EURIBOR once the mezzanine debt has been reduced to €35 million, subject to the overall LTV being below 70% (the "Step Down Event").

The proceeds of the agreed targeted asset disposals will be applied to the repayment of the mezzanine debt, with the blended cost of debt to the Company remaining at 770bp over three month EURIBOR until the Step Down Event has been achieved. The maturity and other terms of the facilities are similar to those applying to the original facility.

The Company expects to release its Interim Management Statement towards the end of August.