The manager of Keppel REIT has announced the completion of the update of the multicurrency debt issuance programme established on Jan 19, 2009 to increase the limit to $2 billion from $1 billion previously.
The updated programme enables both Keppel REIT special purpose vehicle (SPV) and trustee to issue notes, while only the trustee may issue perpetual securities. The securities issued by the trustee will not be guaranteed while the notes issued by the SPV will be unconditionally and irrevocably guaranteed by Keppel REIT.
Citigroup Global Markets Singapore is the sole arranger and dealer of the updated programme.
The manager of Keppel REIT says that the net proceeds of the issuance of notes or as the case may be, perpetual securities, will be used by the trustee towards financing or refinancing acquisitions and/or investments of the REIT and any asset enhancement works initiated by the trustee or any trust, fund or entity in which the REIT trustee has an interest, among others.
In the case where the SPV is the issuer, it will lend the net proceeds arising from the issue of the notes to the trustee.
Units in Keppel REIT closed 1 cent lower or 1.11% down at 89 cents on July 4.
