Stockland has secured a new long dates US Private (USPP) debt to the equivalent value of A$359 million. The funding is to be delivered in August 2015, subject to standard investor due diligence and investor documentation.
The USPP issuance comprised three tranches of 10, 12, and 15 years in US dollars and was priced in Australian dollar terms at an average spread over BBSW of =168bps (inclusive of fees). Details of these tranches are as follows:
– US$120 million with a 10-year term maturing in August 2025.
– US$100 million with a 12-year term maturing August 2027.
– US$55 million with a 15-year term maturing in August 2030.
The issuance is in line with Stockland’s ongoing capital management program, including refinancing scheduled debt maturities, ensuring the group retains diversified and long dated sources of debt. Stockland’s pro forma Weighted Debt Maturity at 30 June 2015 would increase from 5.3 to 5.9 years, taking into account this funding.
