SEGRO plc has announced that it has agreed amended bank facilities totalling EUR780 million (GBP614 million).
The facilities comprise a EUR610 million syndicated revolving credit facility and two bi-lateral revolving credit facilities of EUR100 million and EUR70 million each. The net impact of the changes is a EUR110 million (GBP87 million) increase in the unsecured committed bank facilities available to the Group and an increase in their weighted average maturity from 25 months to 57 months (with an option to extend the EUR610 million facility by a further 24 months).
Based on the Group’s currently forecast gearing level at June 30 2016, the margin payable under all three amended facilities will be 95 basis points. This is 27 basis points lower than the average bank margin payable immediately prior to this refinancing and reflects SEGRO’s improved credit strength and better loan market conditions.
Besides a reduced commitment fee, the other principal terms and conditions of the facilities are in line with those previously contained in the Group’s unsecured committed bank facilities.
The facilities have been put in place with a strong group of long-standing relationship banks plus one new lender and comprises Barclays Bank, Bank of China, BNP Paribas, Bank of America Merrill Lynch, HSBC Bank plc, Lloyds Bank, KBC Bank, the Royal Bank of Scotland, Santander and, for the first time, Wells Fargo. In total, these 10 banks have worked with SEGRO for more than 200 years.
SGRO : SEGRO secures €780m bank facilities