Citycon Oyj: following almost ten times over-subscribed orderbook Citycon Group places a EUR 350 million Green Bond

04 Dec 2024 17:10 CET

CITYCON OYJ   Stock Exchange Release   4 December 2024 at 18:10 hrs

NOT TO BE RELEASED, PUBLISHED OR DISTRIBUTED, DIRECTLY OR INDIRECTLY, IN WHOLE
OR IN PART IN OR INTO OR TO ANY PERSON LOCATED IN OR RESIDENT IN THE UNITED
STATES, ITS TERRITORIES AND POSSESSIONS, ANY STATE OF THE UNITED STATES OR THE
DISTRICT OF COLUMBIA (TOGETHER THE "UNITED STATES"), AUSTRALIA, CANADA OR JAPAN
OR ANY OTHER JURISDICTION IN WHICH THE DISTRIBUTION OR RELEASE WOULD BE
UNLAWFUL.
Citycon Group has successfully placed a EUR 350 million green bond (the "Bond").
The issuer of the Bond is Citycon Treasury B.V. and the guarantor is Citycon
Oyj. The 5.25-year senior unsecured fixed rate EUR-denominated Bond matures on
11 March 2030 and pays a fixed coupon of 5.000%.
The Bond is issued under Citycon Treasury B.V.'s EUR 2,500,000,000 EMTN
programme dated 29 November 2024. Citycon Treasury B.V. will apply for the Bond
to be admitted to the Official List of the Irish Stock Exchange (Euronext
Dublin) and to trade on its regulated market. The Bond will be rated by Standard
& Poor's in line with the corporate rating of Citycon.
The net proceeds from the Bond will be used to repurchase certain NOK
denominated bonds issued by the Citycon Group which are validly tendered and
accepted for purchase in accordance with the tender offer launched by Citycon on
3 December 2024. Additionally, remaining net proceeds from the Bond will be used
to repay existing indebtedness and for such general corporate purposes of the
group that meet Citycon's green financing framework requirements.
Citycon's green financing framework reflects practices that support the
transition to a sustainable and low carbon economy through the development of
green assets. Proceeds allocated in accordance with the framework will be used
to finance or re-finance eligible green assets in categories green buildings,
energy efficiency, renewable energy or waste management.
"We are pleased with the success of this placement. The demand for the bond was
extremely strong with an orderbook almost ten times over-subscribed and we
therefore decided to enlarge the size of the issue to 350 million from the
original issue size of 300 million euros. We were also able to tighten the
initial thought price of the bond by -55 basis points. This once again
highlights the quality of our credit and our access to the capital market. As a
result of this successful issuance, our debt maturity profile is significantly
improved and refinancing risk is further reduced as we will use the net proceeds
to repay near-term maturing debt, including the NOK denominated bonds maturing
in 2025", says Eero Sihvonen, CFO of Citycon.
Citycon Group has mandated Deutsche Bank and Nordea as global coordinators and
Danske Bank, OP Corporate Bank, SEB and Swedbank as joint bookrunners.
CITYCON OYJ
For further information, please contact:
Eero Sihvonen
CFO and Member of the Board of Directors
Contact requests through:
Anni Torkko
Investor Relations Manager
Tel. +358 45 358 0570
anni.torkko@citycon.com
Citycon is a leading owner, manager and developer of mixed-use real estate
featuring modern, necessity-based retail with residential, office and municipal
service spaces that enhance the communities in which they operate. Citycon is
committed to sustainable property management in the Nordic region with assets
that total approximately EUR 4.0 billion. Our centres are located in urban hubs
in the heart of vibrant communities with direct connections to public transport
and anchored by grocery, healthcare and other services that cater to the
everyday needs of customers.
Citycon has investment-grade credit rating from Standard & Poor's (BBB-).
Citycon's shares are listed on Nasdaq Helsinki Ltd.
www.citycon.com
Important regulatory notice
This announcement does not constitute, or form part of, an offer or invitation
to sell or issue, or any solicitation of an offer to buy or subscribe for, any
securities in the United States or any other jurisdiction nor shall it (or any
part of this announcement) or the fact of its distribution form the basis of, or
be relied upon in connection with, or act as any inducement to enter into, any
contract or commitment.  Recipients of this announcement who intend to purchase
any securities are reminded that any such purchase or subscription must be made
solely on the basis of the information contained in any final form prospectus
published in connection with any such securities, which if and when published
will be available on the website of the Central Bank of Ireland.  The
transaction described above and the distribution of this announcement and other
information in connection with the transaction in certain jurisdictions may be
restricted by law and persons into whose possession any document or other
information referred to herein comes should inform themselves about and observe
any such restriction.  Any failure to comply with these restrictions may
constitute a violation of the securities laws of any such jurisdiction.
This communication is not an offer of securities for sale in the United States,
Australia, Canada, Japan or any other jurisdiction where to do so would be
unlawful.  Neither Citycon Oyj nor Citycon Treasury B.V. has registered, or
intends to register, securities in any of these jurisdictions or to conduct an
offer of securities for sale in any of these jurisdictions.  In particular, no
securities of Citycon Oyj or Citycon Treasury B.V. have been or will be
registered under the U.S. Securities Act of 1933, as amended (the "Securities
Act"), and such securities may not be offered, sold or delivered within the
United States or to, or for the account or benefit of, U.S. persons (as defined
in Regulation S under the Securities Act) except pursuant to an exemption from,
or in a transaction not subject to, the registration requirements of the
Securities Act and in compliance with any applicable state securities laws.
This announcement is directed only at (i) persons who are outside the United
Kingdom or (ii) to investment professionals falling within the definition of
"investment professionals" in Article 19 of the Financial Services and Markets
Act 2000 (Financial Promotion) Order 2005, as amended (the "Order") or (iii)
high net worth companies, and other persons to whom it may lawfully be
communicated, falling within Article 49(2)(a) to (d) of the Order (all such
persons in (i), (ii) and (iii) above together being referred to as "relevant
persons").

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