Choice Properties Real Estate Investment Trust to Issue $500 million of Senior Unsecured Debentures

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[{"type":"text","content":"\n\n\n\nChoice Properties Real Estate Investment Trust to Issue $500 million of Senior Unsecured Debentures\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\n\nCanada NewsWire\nTORONTO, Feb. 18, 2020\n\n\n\n/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES./\n TORONTO, Feb. 18, 2020 /CNW/ - Choice Properties Real Estate Investment Trust (\"Choice Properties\" or the \"Trust\") (TSX: CHP.UN) announced today that it has agreed to issue, on a private placement basis in certain provinces of Canada (the \"Offering\"), $500 million aggregate principal amount of senior unsecured debentures of the Trust in two series. The Offering includes: (i) $400 million aggregate principal amount of series N senior unsecured debentures that will bear interest at a rate of 2.981% per annum and will mature on March 4, 2030, and (ii) $100 million aggregate principal amount of series O senior unsecured debentures that will bear interest at a rate of 3.827% per annum and will mature on March 4, 2050 (collectively, the \"Debentures\").\n\n \n \n\n \nOffering of Debentures\nThe Debentures are being offered on an agency basis by a syndicate of agents co-led by RBC Capital Markets, BMO Capital Markets, TD Securities, CIBC Capital Markets and Scotiabank. Subject to customary closing conditions, the Offering is expected to close on March 3, 2020.\nThe net proceeds of the Offering will be used by the Trust to repay existing indebtedness of the Trust, including redemption in full of the Trust's $250 million aggregate principal amount of 2.297% series E senior unsecured debentures due September 14, 2020, as well as to repay a portion of the balance drawn on the Trust's credit facility.  \nIt is a condition of closing of the Offering that the Debentures be rated at least \"BBB\" with a \"stable\" trend by DBRS Limited and at least \"BBB\" by Standard and Poor's Ratings Services. The Debentures will rank equally with all other unsecured indebtedness of the Trust that has not been subordinated.\nThe Debentures being offered have not been registered under the ...

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