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Northwest Healthcare Properties Real Estate Investment Trust Announces $500 Million Successful Inaugural Unsecured Debentures Offering
Toronto, Ontario--(Newsfile Corp. - February 13, 2025) - Northwest Healthcare Properties Real Est...
About this update from Vital Infrastructure Property Trust
[{"type":"text","content":"Northwest Healthcare Properties Real Estate Investment Trust Announces $500 Million Successful Inaugural Unsecured Debentures OfferingToronto, Ontario--(Newsfile Corp. - February 13, 2025) - Northwest Healthcare Properties Real Estate Investment Trust (TSX: NWH.UN) (the \"REIT\" or \"Northwest\"), a leading owner and operator of healthcare real estate infrastructure in North America, Brazil, Europe and Australasia, announced today that it has priced a private placement offering of $500 million aggregate principal amount of senior unsecured debentures of the REIT in two series (the \"Offering\"). The Offering includes (i) $200 million of 5.019% Series A senior unsecured debentures due on February 18, 2028; and (ii) $300 million of 5.514% Series B senior unsecured debentures due on February 18, 2030 (collectively the \"Debentures\"). The Debentures will be issued at a price of $1,000 per $1,000 principal amount of Debentures. The Debentures are being offered on an agency basis by a syndicate of agents co-led in each of the provinces of Canada by RBC Dominion Securities Inc. and Scotia Capital Inc including National Bank Financial Inc., BMO Nesbitt Burns Inc., CIBC World Markets Inc. and TD Securities Inc. \"We are very pleased to announce the successful pricing of our inaugural debentures offering, which follows the recent assignment of an investment-grade credit rating by Morningstar DBRS,\" said Craig Mitchell, Chief Executive Officer of Northwest. \"This transaction strengthens Northwest's financial position by enabling us to significantly reduce our cost of capital and resolve near-term debt maturities, including the repayment of our Series G convertible debentures that mature on March 31, 2025.\" The Debentures will be direct senior unsecured obligations of the REIT and will rank equally and rateably with one another and with all other unsecured and unsubordinated indebtedness of the REIT, except to the extent prescribed by law. Northwest will use the net proceeds of the Offering to repay outstanding indebtedness including the 10.0% convertible unsecured subordinated debentures due March 31, 2025. On February 5, 2025, Northwest received an investment grade issuer rating of BBB (low) with a Stable outlook from Morningstar DBRS. The Debentures priced today have been assigned a provisional rating of BBB (low), with a stable tren...