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Growthpoint Properties Limited - Placement Of Growthpoint"s Commercial Mortgage

Release Date: 23/11/2005 16:49
Code(s): GRT
Wrap Text

Growthpoint Properties Limited - Placement Of Growthpoint"s Commercial Mortgage Backed Securitisation ("Cmbs") Notes Growthpoint Properties Limited (Incorporated in the Republic of South Africa) (Registration number 1987/004988/06) Share code: GRT ISIN: ZAE000037669 ("Growthpoint" or "the company") PLACEMENT OF GROWTHPOINT"S COMMERCIAL MORTGAGE BACKED SECURITISATION ("CMBS") NOTES 1. INTRODUCTION Investec Bank Limited is authorised to announce that Growthpoint has successfully placed R805 million of new bonds, in a book build exercise concluded earlier today, in the first tranche of its R5 billion CMBS programme announced on 10 October 2005. The pricing over the three month JIBAR rate achieved on the bonds was as follows: - AAA 0,34% over 3-M JIBAR - AA- 0,51% over 3-M JIBAR - A- 0,85% over 3-M JIBAR; and - BBB 1,05% over 3-M JIBAR The weighted average price of the issue is 0,47% over the three month JIBAR rate. All the bonds have a five year term and will be listed on the Bond Exchange of South Africa on 28 November 2005. 2. RATIONALE AND PROPOSED BENEFITS The proposed benefits of Growthpoint"s CMBS programme include: - lower average cost of borrowings; - diversification of borrowing sources; - increased competitive advantage of Growthpoint to make value enhancing acquisitions; and - increased distributions to Growthpoint linked unit holders. The net proceeds of the issue will be used for the refinancing of existing debt and in addition, Growthpoint may use the proceeds of the issue for acquisitions of additional property assets in support of its strategy. For and on behalf of the board Growthpoint Properties Limited Sandton 23 November 2005 Investment bank Investec Corporate Finance Investec Bank Limited (Registration number 1969/004763/06) Lead arranger and manager Investec Treasury & Specialised Finance Innvestec Bank Limited (Registration number 1969/004763/06) Attorneys to the arranger and issuer WEBBER WENTZEL BOWENS Attorneys to Growthpoint JOWELL GLYN & MARAIS Sponsor Investec Bank Limited (Registration number 1969/004763/06) Date: 23/11/2005 04:50:08 PM Supplied by www.sharenet.co.za Produced by the JSE SENS Department

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