REG - Sirius Real Estate - Refinancing at Saarbrücken and MSCI AA ESG rating

Sirius Real EstateAnnouncement

30/01/2025 07:00

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RNS Number : 1864V  Sirius Real Estate Limited  30 January 2025

SIRIUS REAL ESTATE LIMITED

(Incorporated in Guernsey)

Company Number: 46442

JSE Share Code: SRE

LSE (GBP) Share Code: SRE

LEI: 213800NURUF5W8QSK566

ISIN Code: GG00B1W3VF54

 

30 January 2025

Sirius Real Estate Limited

("Sirius Real Estate", "Sirius", the "Company" or the "Group")

 

Sirius agrees 3.264% refinancing at Saarbrücken and has MSCI AA ESG rating
reaffirmed

 

Sirius Real Estate, the leading owner and operator of branded business and
industrial parks providing conventional space and flexible workspace in
Germany and the U.K., has further demonstrated its ability to attract
financing at favourable rates having secured a new debt package at its
Saarbrücken business park in south-west Germany. This news follows the
Company's announcement earlier this month that Sirius had raised
€350 million through an approximately five times oversubscribed senior
unsecured corporate bond issuance, maturing in 2032 and carrying a 4% coupon.
The Company also announces that it has once again been recognised as a leader
in sustainable financing having had its MSCI AA ESG Rating reaffirmed.

 

Sirius has agreed a €13 million, 5-year loan at 3.264% with Sparkasse
Saarbrücken bank, which refinances the Company's asset in Saarbrücken.  The
Sirius Office Center Saarbrücken is a well located 47,000 sqm edge of town
business park comprising primarily offices, a modern conference centr
(https://www.siriusfacilities.com/meetinn-redirect.php?url=https://www.meetinn.de/konferenzraeume-saarbruecken/)
e, as well as light industrial and production space. Saarbrücken is the state
capital of Saarland near the border with France and is a major industrial and
transport centre. As of September 2024, the Saarbrücken site had an occupancy
of 78% and was producing a net operating income of €2.9 million, reflecting
a 20% improvement since it was acquired by the Company in 2018.

 

MSCI's ESG Ratings aim to measure a company's management of financially
relevant ESG risks and opportunities. The reconfirmation of Sirius'AA ESG
Rating by MSCI reflects the Company's ongoing commitment to sustainability and
corporate responsibility.

 

Sirius' weighted average debt maturity is currently at 4.2 years, with the
Company's total average cost of debt at 2.6% (vs 3.5 years and 2.1% at 30
September 2024).

 

Chris Bowman, Chief Financial Officer of Sirius Real Estate, commented:
"Whilst de minimis in comparison to the oversubscribed €350 million bond we
issued earlier this month, the refinancing of our Saarbrücken business park
is nonetheless important in that it demonstrates our continued ability to
refinance our assets, as well as the Company, at favourable rates and it
highlights the attractiveness of the European lending market that is available
to Sirius.  These two financings also reflect the quality of our underlying
assets and the appealing security of income they provide. I am also pleased
that the efforts we have made with regards to our corporate responsibility
have been recognised by MSCI's reaffirmation of our AA ESG Rating today."

 

ENDS

 

 

 

For further information:

Sirius Real Estate

Andrew Coombs, CEO / Chris Bowman, CFO

+44 (0) 20 3059 0855

 

FTI Consulting (Financial PR)

Richard Sunderland / Ellie Sweeney / James McEwan

+44 (0) 20 3727 1000

SiriusRealEstate@fticonsulting.com

 

NOTES TO EDITORS

 

About Sirius Real Estate

Sirius is a property company listed on the equity shares (commercial
companies) category of the London Stock Exchange and the premium segment of
the main board of the JSE Limited. It is a leading owner and operator of
branded business and industrial parks providing conventional space and
flexible workspace in Germany and the U.K. As of 30 September 2024, the
Group's owned portfolio comprised 145 assets let to 10,025 tenants with a
total book value of €2.4 billion, generating a total annualised rent roll of
€214 million. Sirius also holds a 35% stake in Titanium, its €350+ million
German-focused joint venture with clients of AXA IM Alts.

 

The Company's strategy centres on acquiring business parks at attractive
yields and integrating them into its network of sites - both under the Sirius
and BizSpace names and alongside a range of branded products. The business
then seeks to reconfigure and upgrade existing and vacant space to appeal to
the local market via intensive asset management and investment and may then
choose to refinance or dispose of assets selectively once they meet maturity,
to release capital for new investment. This active approach allows the Company
to generate attractive returns for shareholders through growing rental income,
improving cost recoveries and capital values, and enhancing returns through
securing efficient financing terms.

 

For more information, please visit: www.sirius-real-estate.com
(http://www.sirius-real-estate.com/)

 

Follow us on LinkedIn at https://www.linkedin.com/company/siriusrealestate/
(https://www.linkedin.com/company/siriusrealestate/)

 

Follow us on X (Twitter) at @SiriusRE

 

JSE Sponsor

PSG Capital

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