SETTLING SHORT-TERM FINANCING FACILITIES
Hammerson makes history with £400m private placement
Hammerson Plc, the UK-based shopping centre group, has raised £400m through what is touted as the largest private placements by a real estate company in UK history. It will use the funds to repay short-term financing facilities for recent acquisitions in Dublin and Birmingham. Hammerson listed on the JSE in September and has a market capitalisation of nearly R77bn. "Hammerson has signed an agreement with 11 institutional investors from both the US and the UK for the placement of £400m of private placement notes with maturities at seven, nine, 11 and 14 years," it said. The fixed-rate notes were denominated in euro to the value of €177m and in pounds to the value of £50m as well as $232m, with the dollar portion swapped to euro worth €210m. The placement would fund in January 2017. The notes were priced on October 13, with a weighted average coupon at a fixed rate of 1.70%, equivalent nominal value of $488m, or £400m, and a weighted average maturity of nine years. The placement would...
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