URW Successfully Completes Tender Offer for NC2028 Hybrid Notes

URW's Tender Offer Achieves Strong Participation

Unibail-Rodamco-Westfield SE (Euronext: URW) recently announced the successful results of its tender offer for the NC2028 Hybrid Notes, demonstrating robust interest from investors. This initiative underscores the company’s commitment to managing its financial strategy effectively while focusing on sustainability.

Details on the Tender Offer

The tender offer, launched on March 26, concluded on April 2 with an impressive participation rate of 94.4%. A total of €939.2 million was validly tendered out of the €995 million hybrid notes available, reflecting significant investor confidence in URW's future prospects. The Group plans to accept all valid tenders and will utilize its minimal outstanding amount call option for the remaining notes that were not tendered.

Funding the Tender Offer

URW will finance this tender offer using the net proceeds from its recent issuance of €815 million in 4.875% Perp-NC 5.5 Notes, alongside available cash resources. This strategic move not only allows URW to optimize its capital structure but also significantly enhances the average coupon rate of its hybrid portfolio.

Future Implications and Sustainability Efforts

By successfully closing this tender offer, URW is able to lower its hybrid stack and prolongs the average tenure to the first reset date of its hybrid notes, ultimately bolstering its market position. The Group’s strategy is driven by sustainability and urban regeneration, which are vital to URW’s mission as a leading real estate asset owner and manager.

URW’s Operational Footprint

URW operates 67 shopping centers across 11 countries, including a remarkable 39 centers branded as Westfield. These centers collectively attract over 900 million visitors annually, providing an ideal platform for retailers and brands. Furthermore, URW boasts a mix of high-quality office spaces, convention venues, and a strong development pipeline valued at €3.5 billion, mostly focused on mixed-use properties.

Focus on Sustainable Development

As a responsible operator, URW endorses urban regeneration projects aimed at creating sustainable urban environments. The Group is committed to achieving industry-leading standards for sustainability through its Better Places plan, enhancing its positive impact on the communities where it operates.

Company Ratings and Financial Stability

With substantial financial backing, URW maintains a BBB+ rating from Standard & Poor’s and a Baa2 rating from Moody’s. These ratings reflect the company’s strong financial health and commitment to maintaining a sustainable portfolio, benefiting both the environment and communities.

Conclusion

URW’s successful tender offer illustrates its proactive approach to financial management while underscoring its dedication to sustainability. By optimizing its capital structure and focusing on quality developments, URW positions itself strongly for future growth and stability in the dynamic real estate market.

Frequently Asked Questions

What was the participation rate of the tender offer?

The tender offer received a participation rate of 94.4% with €939.2 million validly tendered.

How will the tender offer be funded?

URW will fund the tender offer from the proceeds of €815 million 4.875% Perp-NC 5.5 Notes and available cash.

What is the significance of this tender offer?

This tender offer allows URW to reduce its hybrid stack and improve the average coupon of its hybrid portfolio.

What is URW's focus on sustainability?

URW aims to enhance urban regeneration projects and adheres to high sustainability standards through its Better Places plan.

What ratings does URW hold?

The company holds a BBB+ rating from Standard & Poor’s and a Baa2 rating from Moody’s, indicating strong financial stability.

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