The manager of OUE LJ3 REIT has priced $250 million of green notes under its $2 billion multicurrency debt issuance programme.
The notes will bear an interest rate of 4.1% per annum and interest on the notes will be payable semi-annually in arrear. The notes will mature on June 14, 2027.
The issuer may choose to redeem all of the notes, at its option, at any time at 100% of their principal amount plus accrued and unpaid interest if the amount outstanding is less than 10% of the principal amount issued.
The REIT and the notes are rating “BBB-“ by S&P Global Ratings. The notes are expected to be issued on June 14 and expected to be listed on the SGX on June 18.
Oversea-Chinese Banking Corporation Limited (OCBC) is the sole global coordinator, while DBS Bank Ltd., The Hongkong and Shanghai Banking Corporation Limited (HSBC) and OCBC are the joint lead managers and bookrunners of the offering of the notes.
Industrial and Commercial Bank of China Limited (ICBC) is the joint lead manager and bookrunner (no book) of the offering of the notes. OCBC is also the green finance adviser to the issuer for the offering of the notes.
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According to the REIT manager, the net proceeds from the notes will go to financing or refinancing its new or existing eligible green projects that meet one or more of the categories recognised in the green bond principles and green loan principles under the REIT’s green financing framework.
Units in OUE REIT closed at 27 cents on June 5.
