NH Hotel Group priced an issuance of €115 million in 3.75% notes due 2023 at a premium to par of 3.375%, implying a yield to maturity of approximately 3%.
The issue will be combined with its September 2016 offering of €285 million of senior unsecured notes to form an upsized single €400 million tranche. The two issuances will have the same terms, according to a release.
NH Hotel plans to use the proceeds from the issuance and additional cash on hand to refinance €150 million of 6.875% bonds issued in 2013. Any remaining proceeds will also be used to extend its debt maturity profile and reduce gross debt.