Business
Re: Debt rating
Re: Debt rating.
About this update from Plaza Centers N.v.
[{"type":"text","content":"\n Plaza Centers N.V.\n30 May 2007\n\n30 May 2007\n\n\n PLAZA CENTERS AWARDED STANDARD & POOR'S A+/POSITIVE RATING\n TO RAISE UP TO $400 MILLION OF NEW DEBT\n\n\n\nPlaza Centers N.V. ('Plaza' or the 'Company'), a leading emerging markets\nproperty developer with operations both in Central and Eastern Europe ('CEE')\nand in India, today announces that Maalot, The Israel Securities Rating Company\nLtd. and an affiliate of Standard & Poor's Rating Services,, has approved a\nrating of 'A+/positive', for Plaza to raise new debt up to the amount of US$400\nmillion.\n\n\nPlaza now has the financial flexibility to issue corporate bonds in the Israeli\nInstitutional Market in order to finance its continued growth, as an alternative\nto raising funds through the equity markets. In the event that the Company\ndecides to proceed with such an offer in the future, it anticipates that its\ndebentures would be linked to the Israeli Consumer Price Index, while the exact\nrate of interest would be determined at tender.\n\n\nAs the Company's functional currency is the Euro, and if bonds are raised, the\nCompany intends to hedge the future obligation to correlate with the Euro.\n\n\nA full copy of Maalot's report is available at http://www.plazacenters.com/\nfinancial_reports.html.\n\n\nCommenting on the approval, Ran Shtarkman, President and CEO, Plaza Centers N.V.\nsaid:\n\n\n'We are very pleased to have been rated A+/positive by Maalot, the Israeli\naffiliate of Standard & Poor's and the leading recognised rating agency in\nIsrael. The rating demonstrates the confidence shown by a neutral international\nrating agency in Plaza's performance and successful track record which has been\nbuilt up for more than ten years.\n\n\n\n'During this period, the Company has developed and let a total of 23 shopping\nand entertainment centres, and successfully sold these assets to major\ninternational investors. With this flexibility to raise funds through the bond\nmarkets in the future, Plaza will be well placed to bring to fruition its\nconstantly evolving pipeline. If the debentures are issued, we expect it to be\nat a very favourable interest rate. The A+/positive rating enhances Plaza's\nability to achieve its future objectives and to further diversify and enrich the\nCompany's portfolio through the development of high quality shopping and\nent...