Dundee REIT closes $175-million debenture offering
Dundee REIT closes $175-million debenture offering
2013-06-13 08:44 ET - News Release
Mr. Michael Cooper reports
DUNDEE REIT ANNOUNCES COMPLETION OF $175 MILLION 3.424% SERIES A SENIOR UNSECURED DEBENTURE OFFERING
Dundee Real Estate Investment Trust has completed its issuance of $175-million aggregate principal amount of Series A senior unsecured debentures. The debentures bear interest at a rate of 3.424 per cent per year and will mature on June 13, 2018. The sole bookrunner for the offering was TD Securities, and the underwriting syndicate was co-led by TD Securities, RBC Capital Markets and Scotia Capital Inc. DBRS Ltd. has assigned the debentures a BBB (low) rating with a stable trend.
The offering was made under Dundee REIT's base shelf prospectus dated Nov. 26, 2012, and the debentures were issued pursuant to Dundee REIT's trust indenture dated June 13, 2013, as supplemented. These debentures rank pari passu with Dundee REIT's other outstanding senior unsecured debentures.
The net proceeds of the offering will be used to finance acquisitions and for general trust purposes, including the repayment of indebtedness incurred in connection with those acquisitions.