22nd Nov 2018 09:32
LONDON (Alliance News) - Property developer Derwent London PLC on Thursday said it has agreed a private placement in the US covering USD250 million of new senior unsecured notes.
The issue is in four tranches, with a range of coupons and maturities between 7 and 15 years.
The first tranche is GBP55 million at 2.68% due 2016, then GBP93 million at 2.87% due 2029, GBP50 million at 2.97% due 2031, and GBP51 million at 3.09% due 2034.
It said the offering has a weighted average coupon of 2.89% and a maturity of 10.8 years.
The notes were placed with eight unnamed institutional investors. Barclays Group PLC, HSBC Holdings PLC, NatWest Markets, and Wells Fargo acted as joint placement agents.
Finance Director Damian Wisniewski said: "We are very pleased with the support this issue received both from existing and new investors. With our recent credit rating upgrade, a September 2018 loan-to-value ratio of 16.3% and strong interest cover, the group is well placed to fund its pipeline of value-enhancing projects and to continue growing earnings.
"When drawn in January 2019, the issue will increase our available facilities and extend our weighted average debt maturity."
Shares were 0.5% lower on Thursday at a price of 2,994.00 pence each.
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Derwent London