ESR-REIT prices $100m fixed rate notes

The offer will be issued under the $750m Multicurrency Debt Issuance Programme.

ESR-REIT Management (S) Limited, the manager of ESR-REIT, said in a bourse filing that Perpetual (Asia) Limited has launched and priced $100m of unsecured fixed rate notes, due in 2030, with an annual interest rate of 4.05%.

The offer will be issued under the $750m Multicurrency Debt Issuance Programme.

Proceeds will be allocated for refinancing or repayment of existing borrowings, financing or refinancing acquisitions, investments, developments, and/or asset enhancement works, as well as covering general working capital and capital expenditure requirements.

Notably, the gearing of ESR-REIT will remain the same both before and after the transaction. The offer was approximately 2.5 times subscribed and underpinned by strong demand from institutional investors, where approximately 75% of the offer was placed to institutional investors.