Intu issues €130m of new notes backed by Trafford Centre

UK retail specialist Intu has announced the issue and pricing of £110 mln (€133 mln) of new notes under the existing intu Trafford Centre commercial mortgage-backed securities transaction.

The new notes, which rank pari passu with the current outstanding class A, B and D notes, have an average maturity of nine years and are priced at an average spread of 183 basis points representing an all in cost of 4.6%,

The new and existing notes are secured by Intu's Trafford Centre, the prime super-regional shopping centre near Manchester.

The aggregate of the notes have a combined note to value of 45% based on a valuation of the secured assets of £1.8 bn at 12 February 2014.

Credit Suisse and Lloyds are mandated to act as joint bookrunners.

In a statement, Intu said the proceeds will be used to provide funds for its pipeline of projects and extensions.

'This is our third bond issue within 12 months and I am encouraged by the continuing level of support we have received. We have some exciting development opportunities at Intu and the proceeds will be used to help fund them,' commented Matthew Roberts, finance director of Intu Properties.