By Cristal Cody
Tupelo, Miss., April 29 - Cominar Real Estate Investment Trust on Monday sold C$100 million of 4% senior debentures due Nov. 2, 2020 at par, according to the company and informed sources.
The series 3 debentures (DBRS: BBB) priced at a spread of 256.4 basis points over the Government of Canada benchmark.
National Bank Financial Inc. and BMO Capital Markets Corp. were co-lead underwriters.
The issue has a 101% change-of-control put.
The REIT may redeem the debentures at its option in whole or in part prior to maturity on payment of a redemption price equal to the greater of the Canada Yield price plus 64 bps and par with accrued and unpaid interest.
The Quebec City-based office, retail and industrial property owner plans to use the proceeds to repay amounts outstanding under its credit facility and for general trust purposes.
| Issuer: | Cominar Real Estate Investment Trust
|
| Amount: | C$100 million
|
| Maturity: | Nov. 2, 2020
|
| Securities: | Senior debentures
|
| Bookrunners: | National Bank Financial Inc., BMO Capital Markets Corp.
|
| Co-managers: | RBC Dominion Securities Inc., Desjardins Securities Inc., CIBC World Markets Inc., Scotia Capital Inc., TD Securities Inc.
|
| Coupon: | 4%
|
| Price: | Par
|
| Yield: | 4%
|
| Spread: | 256.4 bps over Government of Canada benchmark
|
| Call feature: | Canada Yield price plus 64 bps
|
| Put option: | 101%
|
| Pricing date: | April 29
|
| Settlement date: | May 2
|
| Rating: | DBRS: BBB
|
| Distribution: | Canada
|
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