Consus Real Estate AG successfully increases its EUR 400 million Senior Secured Bond in the aggregate principal amount of EUR 50 Million (news with additional features)
Consus Real Estate AG successfully increases its EUR 400 million Senior Secured Bond in the aggregate principal amount of EUR 50 Million
Berlin, 18 October 2019 – CONSUS Real Estate AG (“Consus”, and together with its consolidated subsidiaries, “Consus Group”) has issued additional notes (tap) of its senior secured corporate bond (Senior Secured Notes) due 2024 (WKN A2TSCA / ISIN XS1843437465) with an aggregate principal amount of EUR 50 million at 96.5% to institutional investors. These notes will be fully fungible with the existing EUR 400 million Senior Secured Notes.
The additional notes are governed by New York law (144A/Reg S) and will be listed on the Official List of The International Stock Exchange. The net proceeds from the offering will be primarily used for the refinancing of expensive mezzanine project debt.
The rating agencies Fitch and Standard & Poor’s confirmed the rating for the notes of B and B-, respectively. The two rating agencies’ issuer ratings for the Consus Group are B and B, respectively, with a stable outlook in each case.
Andreas Steyer, CEO of Consus, comments: “The placement of this tap is part of our stated strategy of reducing the average interest rate of group debt and reducing the amount of expensive mezzanine outstanding.”
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Consus Real Estate AG (“Consus”) with its headquarters in Berlin is the leading property developer in the top 9 cities in Germany. The development portfolio of Consus had a gross development value (GDV) of EUR 10 bn as of 30 June 2019. Consus focuses on the development of entire neighbourhoods (‘quartiers’) and standardised flats that it forward sells to institutional investors. The in-house construction expertise and the digitalisation of construction processes allow Consus to operate along the entire property development value chain. Consus implements development projects from planning through construction to transfer of ownership, as well as delivering property management and related services through its subsidiaries CG Gruppe AG and Consus Swiss Finance AG. Consus’ shares are included in the Scale segment of the Frankfurt Stock Exchange and the m:access segment of the Munich Stock Exchange and are traded on XETRA in Frankfurt, among others.
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