FIBRA Macquarie México Announces Completion of US$159 Million Unsecured Refinancing Program

FREE Breaking News Alerts from StreetInsider.com!

E-mail Address

StreetInsider.com Top Tickers, 8/22/2026

1. WMT
2. ROST
3. AAP
4. NVDA
5. SPY
6. AVGO
7. SPCX
8. BJ
9. BABA
10. DE

October 3, 2016 10:20 AM EDT

Highlights

  • Successful closing of US$84 million increase of unsecured bank facility
  • Issuance of US$75 million unsecured, ten-year private placement notes bearing interest at a fixed-rate of 5.44 percent per annum
  • Ps.$940 million of secured loans and revolver facilities equivalent to US$62.8 million repaid on September 30, 2016

MEXICO CITY--(BUSINESS WIRE)-- FIBRA Macquarie México (FIBRA Macquarie) (BMV: FIBRAMQ) announced the successful completion of its previously announced US$159 million unsecured refinancing program (the Refinancing). US$112.5 million of the proceeds were used to repay Ps.$940 million (US$47.7 million) of secured, asset-level debt due to mature on October 31, 2016 and to repay revolver drawings equivalent to US$62.8 million, as well as associated interest and transaction costs. In addition, undrawn commitments under FIBRA Macquarie’s existing revolving credit facility were increased by an equivalent of US$46.5 million.

The Refinancing, along with the successfully executed US$258 million interest rate swap program, delivered significant benefits, including:

  • Extended weighted average tenor of debt outstanding to 4.8 years, from 4.0 years, as of 30 September 2016;
  • Secured long-term, fixed-rate funding, with a pro forma weighted average cost of debt of 4.9 percent per annum, compared to 5.1 percent per annum as of 30 June 2016;
  • Increased the proportion of fixed-rate funding across FIBRA Macquarie’s US$907.4 million of outstanding debt to 89.2 percent;
  • Diversified financing sources to 13 different firms, including seven local and international banks, as well as six leading US insurance companies, including new commitments from existing lenders as part of the current Refinancing; and
  • Enhanced FIBRA Macquarie’s liquidity, with upsized total revolving credit facility commitments of US$258 million, of which US$160 million is currently undrawn and available for general corporate purposes, including acquisitions.

Please refer to the following table summarizing FIBRA Macquarie’s loans outstanding and undrawn revolver commitments as of 30 September 2016.

Debt Disclosure

Debt Associated with Wholly-Owned Properties

Lenders   Ccy   Outstanding Balance US$ mm1   Outstanding Balance Ps. mm1   Interest Type   Interest Rate p.a.   Amortization   Security Type   Commencement Date   Maturity Date   Extended Maturity Date5
        (Fixed/Variable)            
Various Banks through a Credit Facility - Term Loan   USD   258.0   5,088.0   Fixed2   4.375%   Interest Only   Unsecured   Jun-16   Jun-20   Jun-21
Various Banks through a Credit Facility - Revolving Credit Facility8 USD 98.0 1,932.7 Variable 30 day LIBOR+2.75% Interest Only Unsecured Jun-16 Jun-19 Jun-20
  Ps.   -   -   Variable   TIIE 28 day+2.45%          
Various Insurance Companies through a Note Purchase and Guaranty Agreement - Term Loan USD 250.0 4,930.3 Fixed 5.55%

Interest Only

Unsecured Jun-16 Jun-23 -
  USD   75.0   1,479.1   Fixed   5.44%       Sep-16   Sept-26   -
Metropolitan Life Insurance Company - Term Loan   USD   182.5   3,599.1   Fixed   4.50%   Interest Only3   Guaranty Trust, among others4   Dec-12   Jan-18   -
Total 863.5 17,029.2
 

Debt Associated with JV6

Lenders   Ccy   Outstanding Balance US$ mm1   Outstanding Balance Ps. mm1   Interest Type   Interest Rate p.a.   Amortization3   Security Type4   Commencement Date   Maturity Date   Extended Maturity Date5
(Fixed/ Variable)
Blackstone through its subsidiary in Mexico BRE Debt Mexico II, S.A. de C.V., SOFOM E.N.R.7 - Term Loan   Ps.   29.3   577.5   Fixed   6.89%   Interest Only   Guaranty Trust, among others   Mar-14   Apr-17   -
Metropolitan Life Insurance Company -Term Loan Ps. 14.6 288.0 Fixed 7.61% Interest Only Guaranty Trust, among others Mar-14 Apr-19 -
Total 43.9 865.5
 

1. Excludes capitalized upfront borrowing costs which are amortized over the term of the relevant loan. FX: Ps. 19.7211 per USD 2. Fixed by a corresponding interest rate swap. Term loan has a variable interest type calculated at 90 day LIBOR+3.125% p.a. spread 3. Interest only subject to compliance with certain debt covenants 4. Lenders have recourse only to the properties, cash flows and other reserves constituted under the facilities, except under certain limited circumstances in which the lenders have recourse to FIBRA Macquarie 5. Extension at FIBRA Macquarie’s option, subject to meeting certain conditions 6. Amounts stated represents FIBRA Macquarie’s proportionate share 7. BRE Debt Mexico II, S.A. de C.V., SOFOM. E.N.R. assigned its rights as lender to Banco Mercantil del Norte, S.A., Institución de Banca Múltiple, Grupo Financiero Banorte, División Fiduciaria, as trustee of guaranty Trust number F/745464 8. As of September 30, 2016, the Revolving Credit Facility is expected to have available undrawn commitments of USD 78.5 million (USD tranche) and Ps.1.6 billion (Peso tranche) totaling to USDe 159.9 million. Note: All interest rates are exclusive of withholding taxes.

About FIBRA Macquarie

FIBRA Macquarie México (FIBRA Macquarie) (BMV: FIBRAMQ) is a real estate investment trust (fideicomiso de inversión en bienes raíces), or FIBRA, listed on the Mexican Stock Exchange (Bolsa Mexicana de Valores) targeting industrial, retail and office real estate opportunities in Mexico, with a primary focus on stabilized income-producing properties. FIBRA Macquarie’s portfolio consists of 277 industrial properties and 17 retail/office properties, located in 24 cities across 19 Mexican states as of June 30, 2016. Nine of the retail/office properties are held through a 50/50 joint venture with Grupo Frisa. FIBRA Macquarie is managed by Macquarie México Real Estate Management, S.A. de C.V. which operates within the Macquarie Infrastructure and Real Assets division of Macquarie Group. For additional information about FIBRA Macquarie, please visit www.fibramacquarie.com.

Macquarie Infrastructure and Real Assets is a business within the Macquarie Asset Management division of Macquarie Group and a global alternative asset manager focused on real estate, infrastructure, agriculture and energy assets. Macquarie Infrastructure and Real Assets has significant expertise over the entire investment lifecycle, with capabilities in investment sourcing, investment management, investment realization and investor relations. Established in 1996, Macquarie Infrastructure and Real Assets has approximately US$104.6 billion of total assets under management as of March 31, 2016.

About Macquarie Group

Macquarie Group (Macquarie) is a global provider of banking, financial, advisory, investment and funds management services. Macquarie’s main business focus is making returns by providing a diversified range of services to clients. Macquarie acts on behalf of institutional, corporate and retail clients and counterparties around the world. Founded in 1969, Macquarie operates in more than 70 office locations in 28 countries. Macquarie employs approximately 14,372 people and has assets under management of more than $367 billion (as of March 31, 2016).

Cautionary Note Regarding Forward-looking Statements

This release may contain forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. We caution you that a number of important factors could cause actual results to differ significantly from these forward-looking statements and we undertake no obligation to update any forward-looking statements.

None of the entities noted in this document is an authorized deposit-taking institution for the purposes of the Banking Act 1959 (Commonwealth of Australia). The obligations of these entities do not represent deposits or other liabilities of Macquarie Bank Limited ABN 46 008 583 542 (MBL). MBL does not guarantee or otherwise provide assurance in respect of the obligations of these entities.

THIS RELEASE IS NOT AN OFFER FOR SALE OF SECURITIES IN THE UNITED STATES, AND SECURITIES MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES ABSENT REGISTRATION OR AN EXEMPTION FROM REGISTRATION UNDER THE U.S. SECURITIES ACT OF 1933, AS AMENDED.

THIS ANNOUNCEMENT IS NOT FOR RELEASE IN ANY MEMBER STATE OF THE EUROPEAN ECONOMIC AREA.

All figures in this release are subject to rounding and stated in US Dollar or US Dollar-equivalent amounts, unless otherwise specified. Any arithmetic inconsistencies are due to rounding.

For FIBRA Macquarie México
Investor relations:
+52 (55) 9178 7763
[email protected]
or
Evelyn Infurna, +1-203-682-8265
[email protected]
or
Jay Davis, +1-212-231-1825
[email protected]
or
For press queries:
Macquarie Group
Melissa McNamara, +1-212-231-1667
Corporate Communications
[email protected]

Source: FIBRA Macquarie México


Serious News for Serious Traders! Try StreetInsider.com Premium Free!

You May Also Be Interested In





Related Categories

Press Releases

Related Entities

Macquarie Group