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OUE Commercial Reit sets up S$2b debt issuance programme

THE manager of OUE Commercial Real Estate Investment Trust (OUE C-Reit) on Saturday announced a new S$2 billion multicurrency debt issuance programme.

The two issuers for the programme are DBS Trustee in its capacity as OUE C-Reit’s trustee, as well as OUE C-Reit’s wholly-owned subsidiary OUE CT Treasury.

Under the programme, each issuer may issue unsubordinated, unsecured notes as well as unsecured perpetual securities.

The notes or perps issued by OUE CT Treasury will be unconditionally and irrevocably guaranteed by DBS Trustee.

Net proceeds from issuances under the programme will be used to refinance existing borrowings of OUE C-Reit and its subsidiaries, for the group’s general corporate funding including investments and capital expenditures and/or to finance general working capital purposes of the group.

OCBC and Standard Chartered Bank (Singapore) are the appointed arrangers and dealers of the programme.

Units of OUE C-Reit gained 3.5 Singapore cents or 12.1 per cent to 32.5 cents at Friday’s close.