Final results of the tender offers

RNS Number : 2479C

Land Securities Group PLC

06 February 2020

 

Land Securities Group PLC

("Landsec")

Landsec announces final results of the tender offers

On 28 January 2020, Landsec's wholly-owned subsidiary, Land Securities PLC, launched separate invitations to holders of six series of notes issued by Land Securities Capital Markets PLC to tender their notes for cash. The notes have expected maturities ranging from 2023 to 2034.  Land Securities PLC confirms that it will accept for purchase in cash an aggregate principal amount of notes across six series equal to £192.4m at a cash cost of £250.6m. The final results of the offer are contained in the release issued to the Irish Stock Exchange on Thursday 6 February 2020 (see below).

Based upon Landsec's reported debt position and valuation at 30 September 2019, the pro forma impact of the tender offers is as follows:

¾    The Group's weighted average maturity of debt will be reduced by 0.3 years (30 September 2019: 11.8 years).

¾    Group LTV increases by 0.4 percentage points (30 September 2019: 28.1%).

¾    EPRA net assets will be circa £59.0m lower (30 September 2019: £9,605m).

¾    The net interest saving on the tendered bonds will be circa £1.2m for the year to 31 March 2020 and estimated to be £8.8m for the full year to 31 March 2021.

The following release was issued to the Irish Stock Exchange on Thursday 6 February 2020 by Land Securities PLC:

THIS ANNOUNCEMENT RELATES TO THE DISCLOSURE OF INFORMATION THAT QUALIFIED OR MAY HAVE QUALIFIED AS INSIDE INFORMATION WITHIN THE MEANING OF ARTICLE 7(1) OF THE MARKET ABUSE REGULATION (EU) 596/2014.

NOT FOR DISTRIBUTION IN OR INTO OR TO ANY PERSON LOCATED OR RESIDENT IN THE UNITED STATES, ITS TERRITORIES AND POSSESSIONS (INCLUDING PUERTO RICO, THE U.S. VIRGIN ISLANDS, GUAM, AMERICAN SAMOA, WAKE ISLAND AND THE NORTHERN MARIANA ISLANDS), ANY STATE OF THE UNITED STATES OR THE DISTRICT OF COLUMBIA (the United States) OR INTO ANY OTHER JURISDICTION WHERE IT IS UNLAWFUL TO DISTRIBUTE THIS ANNOUNCEMENT.

6 February 2020

LAND SECURITIES PLC ANNOUNCES FINAL RESULTS OF THE TENDER OFFERS

On 28 January 2020, Land Securities PLC (the Offeror) launched separate invitations to holders of Land Securities Capital Markets PLC's (the Company) outstanding (a) 5.391 per cent. Class A4 Notes due February 2026 (ISIN: XS0204778905), (b) 5.391 per cent. Class A5 Notes due March 2027 (ISIN: XS0204779465), (c) 5.376 per cent. Class A6 Notes due September 2029 (ISIN: XS0204780125), (d) 5.396 per cent. Class A7 Notes due July 2032 (ISIN: XS0204780554), (e) 4.875 per cent. Class A10 Notes due September 2025 (ISIN: XS0269067095) and (f) 5.125 per cent. Class A11 Notes due February 2036 (ISIN: XS0286155071) (together, the Notes), to tender their Notes for purchase by the Offeror for cash (each an Offer and together, the Offers), subject to applicable offer and distribution restrictions. The Offeror announced the indicative results of the Offers earlier today.

Capitalised terms used and not otherwise defined in this announcement have the meanings given in the Tender Offer Memorandum dated 28 January 2020 (the Tender Offer Memorandum).

The Offeror announces that it will accept for purchase in cash an aggregate principal amount of (i) the Class A4 Notes, Class A5 Notes, Class A6 Notes, Class A7 Notes, Class A10 Notes and Class A11 Notes validly tendered pursuant to the Offers equal to £192,381,000. The final results of the Offers are as follows:

Description of the Notes	Coupon	ISIN / Common Code	Aggregate Principal Amount of Notes tendered	Aggregate Principal Amount of Notes accepted for purchase	Scaling Factor (per cent.)	Purchase Yield (per cent.)	Purchase Price (per cent.)	Accrued Interest (per £1,000)
Class A4 Notes	5.391 per cent.	XS0204778905 / 020477890	£4,476,000	£4,476,000	Not Applicable	1.102	116.927	£24.46
Class A5 Notes	5.391 per cent.	XS0204779465 / 020477946	£91,463,000	£91,463,000	Not Applicable	1.098	121.383	£19.59
Class A6 Notes	5.376 per cent.	XS0204780125 / 020478012	£11,268,000	£11,268,000	Not Applicable	1.127	130.998	£19.64
Class A7 Notes	5.396 per cent.	XS0204780554 / 020478055	£75,159,000	£75,159,000	Not Applicable	1.179	141.430	£1.48
Class A10 Notes	4.875 per cent.	XS0269067095 / 026906709	£3,638,000	£3,638,000	Not Applicable	0.949	113.982	£17.95
Class A11 Notes	5.125 per cent.	XS0286155071 / 028615507	£6,377,000	£6,377,000	Not Applicable	1.649	143.274	£0.42

The Offers remain subject to the conditions and restrictions set out in the Tender Offer Memorandum.

The expected Tender Offer Settlement Date is 10 February 2020.

Full details concerning the Offers are set out in the Tender Offer Memorandum.

Questions and requests for assistance in connection with the Offers may be directed to the Dealer Manager and the Tender Agent, the contact details for both of which are set out below.

HSBC Bank plc (Telephone [phone]; Attention: Liability Management Group; Email: [e-mail]) is acting as Dealer Manager and Lucid Issuer Services Limited (Telephone: [phone]; Attention: Arlind Bytyqi; Email: [e-mail]) is acting as Tender Agent.

This announcement is released by Land Securities PLC and contains information that qualified or may have qualified as inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 (MAR), encompassing information relating to the Offers described above. For the purposes of MAR and Article 2 of Commission Implementing Regulation (EU) 2016/1055, this announcement is made by Martin Greenslade, Director of Land Securities PLC.

DISCLAIMER This announcement must be read in conjunction with the Tender Offer Memorandum. No offer or invitation to acquire or sell any securities is being made pursuant to this announcement. The Dealer Manager does not take responsibility for the contents of this announcement.  The distribution of this announcement and the Tender Offer Memorandum in certain jurisdictions may be restricted by law.  Persons into whose possession this announcement and/or the Tender Offer Memorandum come into are required by each of the Offeror, the Dealer Manager and the Tender Agent to inform themselves about, and to observe, any such restrictions.
 

- Ends -

Landsec

Investors
Edward Thacker
T: [phone]

[e-mail]

 

END

 

 

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