Cambridge Industrial Hires Banks for $253 Million Debt Refinance Facility
Cambridge Industrial Trust (CREIT), a Singapore-based real estate investor, borrowed S$320 million ($253 million) from four banks to refinance debt early, according to a statement to the Singapore stock exchange.
One S$220 million facility will mature in three years while another of S$100 million will mature in five, the statement said. The term loans will pay 4.4 percent interest a year, including amortization of any upfront costs, it said.
While the term loan Cambridge is refinancing isn’t due until February, the company is “taking advantage of the current market conditions to refinance ahead of time, with the aim of reducing debt cost and future refinancing risk,” Chief Executive Officer Chris Calvert said in the statement.
Cambridge, which has a S$928.5 million portfolio consisting mainly of industrial parks and warehousing facilities, has S$367.5 million of loans maturing before the end of 2013, according to data compiled by Bloomberg. It reported net income distributable to unit holders of S$44.2 million last financial year, according to statements on its website.
National Australia Bank Ltd., HSBC Holdings Plc, Royal Bank of Scotland Group Plc and Hong Leong Finance Ltd. are providing the new loans, according to the statement.
To contact the reporter on this story: Katrina Nicholas in Singapore at email@example.com
To contact the editor responsible for this story: Will McSheehy at firstname.lastname@example.org