The manager of Starhill Global REIT has priced $125 million worth of notes due 2028.
The notes were issued by Starhill Global REIT MTN, a wholly-owned subsidiary of the REIT’s trustee, HSBC Institutional Trust Services. The notes are guaranteed by HSBC Institutional Trust Services.
The SGD-denominated notes will carry a coupon of 2.23% per annum and will be drawn down under the REIT’s $2 billion multicurrency debt issuance programme.
The notes will be offered primarily in Singapore and are payable semi-annually in arrears.
The notes may be redeemed at the option of the issuer in whole or in part of any interest payment date prior to the date of maturity on Sept 13, 2028.
The net proceeds from the issue of the notes will be used to refinance the REIT’s existing borrowings, as well as meet its working capital purposes.
The transaction is not expected to have a material impact on the REIT’s gearing.
The notes are expected to be issued on Sept 13 and listed on the SGX-ST on the same day or one working day after.
CIMB Bank Berhad and DBS Bank acted as joint lead managers and bookrunners.
Units in Starhill Global REIT closed 1 cent lower or 1.56% down at 63 cents on Sept 6.