Medium Term Notes blog update is courtesy of the Australian Business Review. One of the world’s leading shopping center companies, Scentre Group, announced it is seeking $778 million in euro medium term notes.
Scentre Group is raising £400 million ($778 million) under its euro medium term note (EMTN) programme. The issue comprises of seven-year fixed-rate guaranteed notes with a coupon of 2.375 percent.
The proceeds of the issue will be used to repay borrowings under the company’s revolving bank facilities.
Australian companies, looking to cut dependence on bank loans, have turned to the European debt market in a big way over the past year, as they take advantage of historically low interest rates to implement long-pending growth plans. Other issuers in the Euro market include the Big Four banks, Transurban and Sydney airport.
Scentre (SCG)was spun off from mega mall owner Westfield Group last year by merging the Australian and New Zealand assets of the group with Westfield Retail Trust. It raised nearly more than $3 billion from the European debt markets last year to repay its bridge loan facility.