REIT Financial New - 16 MAR 2010: A-Reit offer of Exchangeable Collateralised Securities and Other Capital Structure Enhancement

A-REIT Enhances Capital Structure with Proactive Capital Management Initiatives. See full report.


A-Reit: Exchangeable collateralised securities issued by Ruby Assets Pte. Ltd. See full report.

Key Points

• Successful Offering of S$300 million of Exchangeable Collateralised Securities ("ECS") Due 2017 with a Put Option in 2015
• Early Redemption of €165 million Class AAA Secured Floating Rate Notes Due May 2012 at a discount to par
• Extended tenure of S$300 million Term Loan due in March 2010 to March 2017
• Effectively extended A-REIT’s Weighted Average Debt Maturity to 4.5 years

Author's Note
Following FrasersCommercial Trust's issue of the convertible perpetual preferred units (CPPU), A-Reit is making a similar move to offer a innovatively structured debt instrument that is like a convertible bond.