NOT TO BE RELEASED, PUBLISHED OR DISTRIBUTED IN WHOLE OR IN PART IN OR INTO OR TO ANY PERSON LOCATED IN OR RESIDENT IN THE UNITED STATES, ITS TERRITORIES AND POSSESSIONS, ANY STATE OF THE UNITED STATES OR THE DISTRICT OF COLUMBIA (TOGETHER THE "UNITED STATES"), AUSTRALIA, CANADA OR JAPAN.
Citycon Group has successfully placed a EUR 350 million 10-year Eurobond (the 'Bond'). The issuer of the Bond is Citycon Treasury B.V. and the guarantor is Citycon Oyj. The 10-year guaranteed euro-denominated Bond matures on 1.10.2024 and carries fixed annual interest at the rate of 2.50 per cent, payable annually on 1.10.
The Bond was allocated to a broad base of international investors and the Bond offering was oversubscribed. Citycon Treasury B.V. has applied for the Bond to be admitted to the Official List of the Irish Stock Exchange and to trade on its regulated market. The Bond has been rated BBB by Standard & Poor's and Baa2 by Moody's, in line with Citycon's corporate credit rating.
The proceeds from the offering will be used to prepay existing debt in order to extend average debt maturities and for general corporate purposes. Citycon may also use the proceeds of the bond for the development of existing properties, to acquire new properties or to increase its shareholdings in its existing joint ventures.
Executive Vice President and CFO Eero Sihvonen: 'We are pleased with the success of the placement of Citycon's Eurobond transaction. This transaction was oversubscribed and closed within a few hours. The success of this offering further demonstrates the strength of our credit profile. This strategic 10-year Eurobond extends our average debt maturities and reduces our cost of debt.'
Deutsche Bank and Goldman Sachs International acted as global coordinators and lead managers together with Danske Bank and Swedbank AB as lead managers.
Helsinki, 22 September 2014
For further information, please contact:
Eero Sihvonen, Executive Vice President and CFO
Tel. +358 20 766 4459 or +358 50 557 9137
Citycon Oyj (NASDAQ OMX: CTY1S) is a leading owner, developer and manager of urban grocery-anchored shopping centres in the Nordic and Baltic region, managing assets that total approximately EUR 3.3 billion and with market capitalisation of approximately EUR 1.6 billion. For more information about Citycon, please visit www.citycon.com
NASDAQ OMX Helsinki
Important regulatory notice
This announcement does not constitute or form part of an offer or invitation to sell or issue, or any solicitation of an offer to buy or subscribe for, any securities in the United States or any other jurisdiction nor shall it (or any part of this announcement) or the fact of its distribution form the basis of, or be relied upon in connection with, or act as any inducement to enter into, any contract or commitment. Recipients of this announcement who intend to purchase any securities are reminded that any such purchase or subscription must be made solely on the basis of the information contained in any final form prospectus published in connection with any such securities, which if and when published will be available on the website of the Central Bank of Ireland. The transaction described above and the distribution of this announcement and other information in connection with the transaction in certain jurisdictions may be restricted by law and persons into whose possession any document or other information referred to herein comes should inform themselves about and observe any such restriction. Any failure to comply with these restrictions may constitute a violation of the securities laws of any such jurisdiction.
This communication is not an offer of securities for sale in the United States, Australia, Canada, Japan or any other jurisdiction where to do so would be unlawful. Neither Citycon Oyj nor Citycon Treasury B.V. has registered, or intends to register, securities in any of these jurisdictions or to conduct a public offering of securities in any of these jurisdictions. In particular, no securities of Citycon Oyj or Citycon Treasury B.V. have been or will be registered under the U.S. Securities Act of 1933, as amended (the “Securities Act”), and such securities may not be offered, sold or delivered within the United States or to, or for the account or benefit of, U.S. persons (as defined in Regulation S under the Securities Act) except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and in compliance with any applicable state securities laws.
This announcement is directed only at persons in the United Kingdom having professional experience in matters relating to investments who fall within the definition of “investment professionals” in Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 and to those persons to whom it can otherwise lawfully be distributed.