Gazit-Globe Ltd. said it will not proceed with a planned public offering of convertible unsecured subordinated debentures in Canada due to "current market conditions," just three days after filing the preliminary prospectus for the C$90.0 million issuance on Dec. 13.
This would have been the company's first public offering in Canada. No further details on the company's assessment of these current market conditions were made available.
The Israeli-headquartered developer had proposed to offer the convertible unsecured subordinated debentures at C$1,000 apiece, at an annual interest rate of 4.85%, payable in semiannual arrears on Jan. 31 and July 31 of each year, beginning from July 31, 2017. The securities were to have been listed on the Toronto Stock Exchange if the offering had moved forward.
Gazit-Globe had intended to use the proceeds from the offering to pay down existing revolving credit facilities and make general corporate purchases.