REG - Shaftesbury Capital - New long-term loan facility of £200 million

Shaftesbury CapitalAnnouncement

14/08/2023 07:00

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RNS Number : 1426J  Shaftesbury Capital PLC  14 August 2023

14 August 2023

 

 

Shaftesbury Capital PLC

 

New long-term loan facility of £200 million

 

Shaftesbury Capital PLC ("the Company") is pleased to announce that it has
signed an agreement with Aviva Investors, the global asset management business
of Aviva plc, for a new 10-year loan of £200 million, secured against a
portfolio of assets within the Carnaby estate (the "Facility").

The Facility will sit alongside the existing secured term loans with Aviva
Investors of £130 million and £120 million maturing in 2030 and 2035
respectively, which share in the asset security of the Carnaby estate. The
additional financing has been priced with reference to 10-year UK gilt yields
and when blended with the existing Carnaby term loans, the annual cash
interest rate in respect of the overall amount of £450 million of secured
term loans with Aviva Investors will be 4.7 per cent.

As part of the financing agreement, the Company and Aviva Investors will
consider the future inclusion of specific sustainability-related metrics into
its terms, ensuring that the Facility is aligned with Aviva Investors'
Sustainable Transition Loan Framework.

This financing demonstrates a continuation of the strong relationship with
Aviva Investors and underlines the attractiveness of the Company's property
portfolio to a broad range of institutional capital.

The proceeds of the Facility will be used to repay in part the £576 million
unsecured loan which was drawn in April 2023 to fund the repayment of the
Shaftesbury PLC secured bonds. As a result, the weighted average maturity of
drawn debt will be extended to 5 years. The weighted average cost of debt will
be 4.2 per cent, which reduces to an effective cash cost of 3.3 per cent after
taking into account the interest income on cash deposits and the benefit of
interest rate hedging.

The Company was advised on the Facility by Rothschild & Co.

Situl Jobanputra, Chief Financial Officer of Shaftesbury Capital,
commented, "We are pleased to have extended our relationship with Aviva
Investors through the new long-term financing of £200 million, which enhances
the Company's debt maturity profile and highlights the attractiveness of our
exceptional portfolio."

Gregor Bamert, Head of Real Estate Debt at Aviva Investors, commented, "We are
delighted to complete our first financing agreement with Shaftesbury Capital,
building on our existing and longstanding relationship with the business. We
have a strong conviction on well-curated and thriving locations, managed by
market leading clients, of which the Carnaby estate and Shaftesbury Capital
are both compelling examples."

 

-ENDS-

Enquiries

Shaftesbury Capital
PLC:
+44 (0)20 3214 9150

Situl Jobanputra                   Chief Financial
Officer

Sarah Corbett                       Director of
Commercial Finance and Investor Relations

Graham Keer                        Group
Treasurer

 

 

 

 

About Shaftesbury Capital

Shaftesbury Capital PLC ("Shaftesbury Capital") is the leading central London
mixed-use REIT and is a constituent of the FTSE-250 Index. Our property
portfolio, valued at £4.9 billion, extends to 2.9 million square feet of
lettable space across the most vibrant areas of London's West End. With a
diverse mix of restaurants, cafés, bars, shops, residential and offices, our
destinations include the high footfall, thriving neighbourhoods of Covent
Garden, Carnaby, Soho and Chinatown, together with holdings in Fitzrovia. Our
properties are close to the main West End Underground stations and transport
hubs for the Elizabeth Line. Shaftesbury Capital shares are listed on the
London Stock Exchange and the Johannesburg Stock Exchange.

 

www.shaftesburycapital.com (http://www.shaftesburycapital.com)

 

Our purpose

 

Our purpose is to invest in and curate vibrant and thriving destinations in
London's West End where people work, live and visit, delivering long-term
social and economic value.

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