Fitch applies BB+ to InRetail notes

Fitch Ratings said it assigned an expected rating of BB+(EXP) to InRetail Real Estate Corp.'s proposed unsecured notes to be issued through its fully owned subsidiary InRetail Shopping Malls.

The notes will be fully guaranteed by InRetail Real Estate and its operating subsidiaries: Interproperties Holding, Interproperties Holding II; and Real Plaza.

The combined target amount for the proposed transactions is up to $500 million, which includes a dollar-denominated senior unsecured issuance of up to $400 million and a Nuevo-Soles (local currency)-denominated senior unsecured issuance of up to $100 million.

The total amount and tenor of the proposed issuances will depend on market conditions.

Proceeds are expected to be used primarily to refinance debt, including InRetail Real Estate's dollar-denominated senior notes due in 2021 ($300 million outstanding), grant a $150 million loan to InRetail Peru Corp. and for general corporate purposes.

Fitch said the ratings reflect InRetail Real Estate's solid business position in Peru's shopping malls industry, stable and predictable cash flow generation and favorable industry fundamentals.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.