Parkway Life Reit trustee prices 5 billion yen bonds

A PROPOSED issue of five billion yen in senior unsecured notes due 2023 for Parkway Life Reit has been priced.

The notes will be issued at 100 per cent of the principal amount and in denominations of 100 million yen (S$1.2 million). They will bear a fixed interest rate of 0.57 per cent, payable every half a year in arrear.

Proceeds from the notes will be lent by Parkway Life MTN Pte Ltd to Parkway Life Reit trustee HSBC Institutional Trust Services (Singapore) Limited, which will use the loan to refinance existing borrowings, investments and general working capital of the real estate investment trust (Reit).

The notes are issued under the S$500 million multi-currency debt issuance programme established by Parkway Life MTN Ltd on Aug 18, 2008. They are expected to be issued on Dec 6 this year, and to mature on June 6, 2023.

Barclays Bank plc and DBS Bank have been appointed as the joint lead managers and joint bookrunners for the issuance of these latest notes.