CPI Property gives results of tender offers for three series of notes

By Mary-Katherine Stinson

Lexington, Ky., April 17 – CPI Property Group announced the results of its cash tender offers for three series of senior notes for which the company originally said it would accept up to €250 million aggregate principal amount of notes across all the offers.

The company announced it was upping the maximum tender acceptance amount to proactively manage its near-term maturities, according to a notice.

The final acceptance amount, representing the aggregate nominal amount of notes accepted for purchase, is €334,724,012. The purchase consideration and the accrued interest payments total €254,515,382.

Specifically, the results from each series of notes were as follows:

• €107,369,000 non-competitive tender instructions and €185,164,000 competitive tender instructions were received in the case of the €750 million outstanding 2Ύ% senior notes due May 12, 2026 (ISIN: XS2171875839) at a weighted average purchase price of 87.32 and a maximum competitive instruction price of 90.9;

• €109,342,000 non-competitive tender instructions and €182,534,000 competitive tender instructions were received in the case of the €750 million outstanding 1 5/8% senior notes due April 23, 2027 (ISIN: XS2069407786) at a weighted average purchase price of 76.17 and a maximum competitive instruction price of 85; and

• £58,947,000 non-competitive tender instructions and £61,326,000 competitive tender instructions were received in the case of the £400 million outstanding 2Ύ% senior notes due Jan. 22, 2028 (ISIN: XS2106589471) at a weighted average purchase price of 74.27 and a maximum competitive instruction price of 83.

€122,939,000 of the 2026 notes were accepted for purchase. The total purchase price including accrued interest for the 2026 notes is €102,314,284.

Of the 2027 notes, €132,442,000 were accepted for purchase. The total purchase price including accrued interest for the 2027 notes is €96,220,368.

The 2028 notes accepted for purchase totals £70,184,000 at a total purchase price of £49,518,558 including accrued interest.

The purchase price was determined through an unmodified Dutch auction procedure.

As previously reported, notes tendered with non-competitive instructions – tenders that do not specify a purchase price or specify a purchase price at or below the minimum price – had priority in acceptance over notes tendered with competitive instructions – tenders specifying a purchase price above the minimum price.

The offers expired at 11 a.m. ET on April 14.

Settlement is expected to take place on April 21.

After settlement, €627,061,000 of the 2026 notes, €617,558,000 of the 2027 notes and £329,816,000 of the 2028 notes will remain outstanding.

The offers were intended to reduce the company’s total debt and decrease the volume of the company’s outstanding senior bonds.

The dealer managers are Banco Santander, SA (LiabilityManagement@gruposantander.com), MUFG Securities (Europe) NV (liability.management@mufgsecurities.com), Societe Generale (liability.management@sgcib.com) and UniCredit Bank AG (corporate.lm@unicredit.de).

Kroll Issuer Services Ltd. (attn.: Jacek Kusion; +44 20 7704 0880; cpi@is.kroll.com; https://deals.is.kroll.com/cpi) is the tender agent.

CPI Property is a Luxembourg-based real estate company focused on property investments in Central and Eastern Europe.

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