{"id":6862,"date":"2024-02-08T08:26:28","date_gmt":"2024-02-08T06:26:28","guid":{"rendered":"https:\/\/sareit.co.za\/?p=6862"},"modified":"2024-02-08T08:26:28","modified_gmt":"2024-02-08T06:26:28","slug":"growthpoint-properties-issues-r1-billion-10-year-bond","status":"publish","type":"post","link":"https:\/\/muddev.co.za\/sareit\/growthpoint-properties-issues-r1-billion-10-year-bond\/","title":{"rendered":"Growthpoint Properties issues R1 billion 10-year bond"},"content":{"rendered":"<p><strong>Growthpoint Properties (JSE: GRT) has issued a R1bn senior unsecured bond with a 10-year maturity. The offering came after strong investor interest in long-term Growthpoint debt, which the sole arranger, Standard Bank, successfully executed as a private placement of R1 billion.<\/strong><\/p>\n<p>The 10-year note was placed at a margin of 185bps above three-month JIBAR, the most favourable pricing achieved in several years. The issue attracted multiple investors, reflecting the market\u2019s continued trust and confidence in Growthpoint.<\/p>\n<p>\u201c<em>We are delighted with the strong support received from our investor base and the success of the long-dated debt issuance, especially given the current global turmoil and local market challenges,\u201d<\/em> says Estienne de Klerk, SA CEO of Growthpoint Properties.<\/p>\n<p><em>\u201cIn the last 12 months, Growthpoint has managed to raise close to R2.5 billion of 10-year funding in the listed bond market at compressing spreads. This demonstrates the strength of Growthpoint\u2019s credit quality and the long tenure of the bonds is a vote of confidence from investors in the future of the business,\u201d<\/em> says Carl Wiesner, Head, Syndicate (South Africa) at Standard Bank Group, Debt Capital Markets.<\/p>\n<p>Growthpoint has both Fitch and Moody\u2019s credit ratings. Its Fitch global scale rating is BB+ and its national scale rating is AAA.za and its Moody\u2019s global scale rating is Ba2 and its national scale rating is Aa1.za<\/p>\n<p>Its latest issuance reaffirms Growthpoint\u2019s robust access to debt capital markets. Growthpoint, being an active issuer in the debt capital markets, also recently won the Bonds, Loans &amp; ESG Capital Markets Africa Award 2024 for Real Estate Finance Deal of the Year for its R910m bond issue in October 2023, for which Standard Bank was also the book-runner.<\/p>\n<p>The company also successfully privately placed a R1bn Green Bond for 10 (R650m) and seven years (R350m). A portion of the proceeds of the Green Bond will be used to finance renewable energy projects for its property portfolio.<\/p>\n<p>Growthpoint recently signed a landmark Power Purchase Agreement (PPA) with Etana Energy for 195GWh of renewable energy a year, representing 32% of its total current annual electricity consumption (612GWhs in FY23) in addition to its long-standing investment in solar plants at its properties, furthering its climate commitment of being carbon neutral by 2050.<\/p>\n<p><em>\u201cWe value our investors\u2019 trust in Growthpoint\u2019s proposition, their confidence in its sound creditworthiness and belief in our long-term direction,\u201d<\/em> says de Klerk.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Growthpoint Properties (JSE: GRT) has issued a R1bn senior unsecured bond with a 10-year maturity. The offering came after strong investor interest in long-term Growthpoint debt, which the sole arranger, Standard Bank, successfully executed as a private placement of R1 billion. The 10-year note was placed at a margin of 185bps above three-month JIBAR, the [&hellip;]<\/p>\n","protected":false},"author":4,"featured_media":6863,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_price":"","_stock":"","_tribe_ticket_header":"","_tribe_default_ticket_provider":"","_tribe_ticket_capacity":"","_ticket_start_date":"","_ticket_end_date":"","_tribe_ticket_show_description":"","_tribe_ticket_show_not_going":false,"_tribe_ticket_use_global_stock":"","_tribe_ticket_global_stock_level":"","_global_stock_mode":"","_global_stock_cap":"","_tribe_rsvp_for_event":"","_tribe_ticket_going_count":"","_tribe_ticket_not_going_count":"","_tribe_tickets_list":"[]","_tribe_ticket_has_attendee_info_fields":false,"footnotes":""},"categories":[9],"tags":[],"class_list":["post-6862","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-members-news"],"featured_image_src":{"landsacpe":["https:\/\/muddev.co.za\/sareit\/wp-content\/uploads\/2024\/02\/19703_Estienne-de-Klerk-SA-CEO-of-Growthpoint-Properties-1140x445.jpg",1140,445,true],"list":["https:\/\/muddev.co.za\/sareit\/wp-content\/uploads\/2024\/02\/19703_Estienne-de-Klerk-SA-CEO-of-Growthpoint-Properties-463x348.jpg",463,348,true],"medium":["https:\/\/muddev.co.za\/sareit\/wp-content\/uploads\/2024\/02\/19703_Estienne-de-Klerk-SA-CEO-of-Growthpoint-Properties-300x200.jpg",300,200,true],"full":["https:\/\/muddev.co.za\/sareit\/wp-content\/uploads\/2024\/02\/19703_Estienne-de-Klerk-SA-CEO-of-Growthpoint-Properties.jpg",1500,1000,false]},"_links":{"self":[{"href":"https:\/\/muddev.co.za\/sareit\/wp-json\/wp\/v2\/posts\/6862","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/muddev.co.za\/sareit\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/muddev.co.za\/sareit\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/muddev.co.za\/sareit\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/muddev.co.za\/sareit\/wp-json\/wp\/v2\/comments?post=6862"}],"version-history":[{"count":0,"href":"https:\/\/muddev.co.za\/sareit\/wp-json\/wp\/v2\/posts\/6862\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/muddev.co.za\/sareit\/wp-json\/wp\/v2\/media\/6863"}],"wp:attachment":[{"href":"https:\/\/muddev.co.za\/sareit\/wp-json\/wp\/v2\/media?parent=6862"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/muddev.co.za\/sareit\/wp-json\/wp\/v2\/categories?post=6862"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/muddev.co.za\/sareit\/wp-json\/wp\/v2\/tags?post=6862"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}