FIBRAMacquarie México signed a new US$159 million unsecured refinancingprogram, upsized its existing credit facility and plans a US$75 million privateplacement.
The new refinancing program, slated to close Sept. 30, comeson the heels of US$685 million in refinancing that the company in June.
The company will use US$112.5 million in borrowings underthe new program to repay its US$47.7 million of asset-level secured loansmaturing in October, repay revolver drawings equating to US$62.8 million, andpay related interest and transaction costs.
It upsized the credit facility to US$516 million from US$432million, including a US$37.5 million increase in nonamortizing term funding anda US$46.6 million boost in revolving credit facility funding. The expandedfacility now consists of a US$258 million term loan due June 30, 2021, and aUS$258 million equivalent revolving credit facility due June 30, 2020, eachwith a one-year extension option.
The revolving credit facility includes a US$177 million U.S.dollar-denominated tranche and an undrawn Mexican peso-denominated tranche ofroughly 1.61 billion pesos. Both tranches will continue to carry variableinterest rates equal to the one-month LIBOR plus a 2.75% annual margin and the Mexican28-day TIIE plus a 2.45% annual margin, respectively. The U.S.dollar-denominated tranche is expected to have a US$98 million outstandingamount at closing, resulting in a roughly US$160 million undrawn balance.
The US$258 million term loan tranche, meanwhile, had avariable interest rate equal to the three-month LIBOR plus a 3.125% annualmargin. However, the company agreed to fix the loan's annual interest rate at4.4% through June 30, 2020. The US$98 million drawn on the revolving credit facilitywill be the only variable-rate funding on the company's balance sheet at Sept.30, as a result of the interest-rate swap.
Macquarie earmarked the credit facility for acquisitions,among other general corporate purposes.
Further, the company agreed to issue to two U.S. insurers US$75million worth of unsecured 10-year notes with a 5.44% fixed annual interestrate in a private placement. In June, the company also issued US$250 million ofseven-year notes in a private placement.
As of Sept. 27, US$1was equivalent to 19.54 Mexican pesos.