Cromwell E-Reit subsidiary secures 124.8m euro note issuance debt facility

CROMWELL European Real Estate Investment Trust's (Cromwell E-Reit) subsidiary, Cromwell EReit Lux Finco Sarl, has entered into a 124.8 million euro (S$193.9 million) note issuance agreement with ING Bank NV and Credit Agricole Corporate and Investment Bank.

The note issuance facility comprises a 104.5 million euro facility and a 87 million zloty (S$31.2 million) facility to fund value-added tax payment in relation to the acquisition of a property in Poznan, Poland until it is recovered from Polish tax authorities, the Reit's manager said.

The Poznan property is part of six European office properties that Cromwell E-Reit said in June it would buy for 246.9m euros.

ING and Credit Agricole are arrangers, bookrunners and original note purchasers, while ING is also agent for the debt facility.

Cromwell E-Reit's units were unchanged at 48.5 euro cents as at 11.56am.