3rd Apr 2014 08:24
LONDON (Alliance News) - British Land Company PLC Thursday said it has signed a new financing deal with a syndicate of 14 banks for GBP785.0 million.
The unsecured revolving credit facility has a maturity of five years which may be extended to a maximum of seven years, on British Land's request and on each bank's approval for their participation.
The facility has an initial margin of 115 bps over the London Interbank Offer Rate, and its terms include British Land's standard unsecured financial covenants.
Finance Director Lucinda Bell noted her pleasure at the level of support for the new facility.
"Over the last 12 months we have raised GBP1.5 billion of debt finance on competitive terms from a broad range of sources. By taking advantage of current market conditions, this facility adds further flexibility and term to our already strong and well diversified debt portfolio," Bell said in a statement.
Lloyds Bank PLC, Sumitomo Mitsui Banking Corporation, Santander Global Banking & Markets and The Bank of Tokyo-Mitsubishi UFJ, Ltd. were Joint co-ordinators and bookrunners. Lloyds is the facility agent.
Commitments were also provided by Barclays Bank PLC, Bank of China Limited, London Branch, HSBC Bank plc, JPMorgan Chase Bank N.A., Landesbank Hessen-Thüringen Girozentrale, Royal Bank of Canada, Wells Fargo, BNP Paribas, Crédit Agricole Corporate and Investment Bank and The Royal Bank of Scotland PLC, British Land said.
Sumitomo Mitsui Banking Corporation, Royal Bank of Canada, Wells Fargo and BNP Paribas are new or re-established unsecured lending relationships for British Land.
The real estate investment trust said it has also closed and drawn, as scheduled, its GBP200.0 million US private placement, signed in August 2013.
The two sterling fixed rate notes with 12 year maturity were provided by New York Life and Pricoa Capital Group, and swapped to an effective floating rate of 103 bps above LIBOR, British Land said.
British Land said the agreed deferred drawdown, enables it to continue to utilise lower margin bank facilities arranged in earlier years.
British Land shares were Thursday quoted at 672.32 pence, up 0.7%.
By Samuel Agini; [email protected]; @samuelagini
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