Wereldhave signed the agreement which was announced in our press release of 1
November 2023, with US institutional investors to issue US Private Placement
notes (USPP) for an amount of USD 50 million with a tenor of seven years.
Rabobank acted as sole agent in this transaction.
This transaction was preceded by a similar transaction, signed on 26 July 2023,
also for an amount of USD 50 million and with a tenor of five years. ABN AMRO
Bank acted as sole agent in this transaction.
The proceeds of the USPP transactions are fully swapped into euros with a fixed
interest rate.
Wereldhave has been very active on the USPP market since 2011 and these
transactions are the first USPP transactions since 2017, illustrating that USPP
remains a resilient source of funding for Wereldhave.
In addition, Wereldhave agreed with two Belgian banks to refinance EUR 65 million
of credit facilities maturing in 2024 and a new credit facility of EUR 20 million,
respectively. The weighted average term of these transactions is 4.5 years.
With the transactions, Wereldhave extends its debt maturity profile
significantly. On a pro forma basis, the weighted average duration of the debt
portfolio will increase from 3.2 years to almost four years.
All funding transactions mentioned are on an unsecured basis, maintaining
Wereldhave's property portfolio entirely unencumbered.
Dennis de Vreede, CFO of Wereldhave, commented: "At the end of this year we will
be more than half-way through our asset transformation program, and we are
entering the next phase of our LifeCentral Strategy. Our continuing efficient
access to debt capital market, as demonstrated by the 2023 funding successes, is
key for that next phase."
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