Supermarket Income REIT PLC (LSE:SUPR, OTC:SUPIF) has completed a £170 million refinancing through its first private placement debt issuance and a new unsecured bank facility.
The company signed an agreement with institutional investors for a private placement of €83 million of new senior unsecured notes with a maturity of seven years and a fixed-rate coupon of 4.44%.
The notes were priced on 11 July 2024, and the note purchase agreement was signed on 25 July 2024.
Proceeds will refinance euro drawings under an existing secured revolving credit facility with HSBC, used to fund the acquisition of 17 Carrefour stores.
Additionally, Supermarket Income REIT has refinanced its £97 million secured debt facility with Deka through a new £100 million unsecured debt facility with ING Bank.
The new ING facility comprises a £75 million term loan and a £25 million revolving credit facility.
Following the debt refinancing, the company has a pro-forma loan-to-value ratio of 37%.
Ben Green, director of Atrato Capital Limited (LSE:CAPD), the investment adviser to Supermarket Income REIT, said: "We are very pleased with the support we have received from new institutional investors both for the company's new unsecured private placement and for the refinancing of the secured facility.
“The quality of our portfolio continues to appeal to new lenders and allows the company to access debt financing on favourable terms."