Citycon Oyj successfully places EUR 500 million eurobond

Stock exchange releases - 14 June 2013


 NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES, CANADA, JAPAN, AUSTRALIA, SOUTH AFRICA, HONG KONG OR IN ANY OTHER JURISDICTION IN WHICH THE DISTRIBUTION OR RELEASE WOULD BE PROHIBITED BY APPLICABLE LAW.

 

 Citycon Oyj, the leading owner, developer and manager of urban grocery-anchored and necessity-driven shopping centres in the Nordic and Baltic regions, has successfully placed a EUR 500 million seven-year eurobond (the “Bond”). The seven-year unsecured euro-denominated Bond matures on 24 June 2020 and carries fixed annual interest at the rate of 3.75 per cent, payable annually on 24 June.  

 

 The Bond was allocated to a broad base of European investors and the Bond offering was oversubscribed. Citycon 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 Baa3 by Moody’s, in line with Citycon’s corporate credit rating.

 

 The proceeds from the offering will be used to repay existing debt to extend average debt maturities, pay down credit facilities, and for general corporate purposes.

 

 Executive Vice President and CFO Eero Sihvonen: “We are pleased with the success of the placement of Citycon’s first 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 and builds on the two investment grade credit ratings Citycon received in May. This strategic transaction increases our liquidity, diversifies our debt financing sources, and extends our average debt maturities.”

 

 Deutsche Bank, Pohjola Bank Plc, and UBS Investment Bank acted as joint lead managers for the transaction.

  



 Helsinki, 14 June 2013

 

 CITYCON OYJ

 Marcel Kokkeel

 CEO

 

 For further information, please contact:

 Eero Sihvonen, Executive Vice President and CFO

 Tel. +358 20 766 4459 or +358 50 557 9137

 eero.sihvonen@citycon.fi

 

 Distribution:

 NASDAQ OMX Helsinki

 Major media

 www.citycon.com

  

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