French retail property specialist Klépierre has issued a EUR 500 mln bond maturing 17 September 2019. The bond was priced at a 145 bps margin above the swap rate which translates into a coupon of 2.75%, a level historically low which backs up Klépierre’s profitability outlook.
French retail property specialist Klépierre has issued a EUR 500 mln bond maturing 17 September 2019. The bond was priced at a 145 bps margin above the swap rate which translates into a coupon of 2.75%, a level historically low which backs up Klépierre’s profitability outlook.
Oversubscribed nearly six fold, the issue was placed after his launch with pan-European investors, with strong interest from fund managers, insurers, banks and pension funds.
The issue follows the EUR 488.5 mln private placements and taps of existing bonds issued executed earlier this year.
Klépierre said the move is part of its plan to increase its level of liquidity and to pursue the active management of its financial resources, while optimizing their cost. Year-to-date, Klépierre raised close to EUR 1 bn in the debt capital markets.
After this transaction, the group’s liquidity level, consisting of available lines and net cash, will be raised to circa EUR 1.8 bn. The next major refinancing needs, for a total of EUR 1 bn, will arise in the fourth quarter of 2014, Klépierre added.
