REG - Regional REIT Ltd - Repayment of Retail Bond

Regional REITAnnouncement

08/08/2024 07:00

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RNS Number : 6180Z  Regional REIT Limited  08 August 2024

8 August 2024

REGIONAL REIT Limited

("Regional REIT", the "Group" or the "Company")

Repayment in full of Retail Bond

 

Regional REIT Limited (LSE: RGL), the regional property specialist, announces
that it has repaid in full the 4.50% £50 million retail bond (ISIN
XS1849479602), which matured on 6 August 2024.

 

Following the repayment of the bond, the Company's reduced borrowings amount
to £353.3 million, with a weighted average cost of capital of 3.4%.

 

As announced on 18 July 2024 and further to the successful £110.5 million
capital raise, an additional £26 million from the net capital raising
proceeds will be used to reduce bank facilities further, which will result in
the Company having greater headroom under the Group's covenants in such
facilities and the LTV decreasing to 41% from 57% prior to the fund raising,
in line with the Company's long-term target range.

 

Stephen Inglis, CEO of London & Scottish Property Investment Management,
Asset Manager commented:

"On behalf of the Board we would like to thank our shareholders for their
continued support and participation in the fundraise, which has enabled the
Company to repay the retail bond in full and reduce our debt further to an LTV
in line with our long-term target.

 

"Additionally, we have set aside further funds to make improvements and
enhance the attractiveness and quality of core assets with the aim of growing
rental income and reducing vacancy rates. We look forward to updating
shareholders further on our continuing progress."

 

- ENDS -

 

Enquiries:

 

 Regional REIT Limited
 Press enquiries through Buchanan

 ESR Europe Private Markets Limited                         Tel: +44 (0) 203 831 9776
 Investment Adviser to the Group
 Adam Dickinson, Investor Relations, Regional REIT Limited

 London & Scottish Property Investment Management           Tel: +44 (0) 141 248 4155
 Asset Manager to the Group
 Stephen Inglis

 Buchanan Communications                                    Tel: +44 (0) 20 7466 5000
 Financial PR
 Charles Ryland, Henry Wilson, George Beale

 

About Regional REIT

Regional REIT Limited ("Regional REIT" or the "Company") and its
subsidiaries (the "Group") is a United Kingdom ("UK") based real estate
investment trust that launched in November 2015. It is managed
by London & Scottish Property Investment Management Limited, the Asset
Manager, and ESR Europe Private Markets Limited, the Investment Adviser.

Regional REIT's commercial property portfolio is comprised wholly of income
producing UK assets and comprises, predominantly of offices located in the
regional centres outside of the M25 motorway. The portfolio is geographically
diversified, with 132 properties, 827 tenants as at 21 June 2024, with a
valuation of c.£647.8m.

Regional REIT pursues its investment objective by investing in, actively
managing and disposing of regional core and core plus property assets. It aims
to deliver an attractive total return to its Shareholders, targeting greater
than 10% per annum, with a strong focus on income supported by additional
capital growth prospects.

The Company's shares were admitted to the Official List of
the UK's Financial Conduct Authority and to trading on the London Stock
Exchange on 6 November 2015. For more information, please visit the Group's
website at www.regionalreit.com (http://www.regionalreit.com/)  .

Cautionary Statement

This document has been prepared solely to provide additional information to
Shareholders to assess the Group's performance in relation to its operations
and growth potential. The document should not be relied upon by any other
party or for any other reason. Any forward looking statements made in this
document are done so by the Directors in good faith based on the information
available to them up to the time of their approval of this document. However,
such statements should be treated with caution due to the inherent
uncertainties, including both economic and business risk factors, underlying
any such forward-looking information.

ESMA Legal Entity Identifier ("LEI"): 549300D8G4NKLRIKBX73

 

 

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