Workspace has raised £200m from a private placement with eight UK and US institutional investors.
The placement comprised £80m eight-year notes and £120m 10-year notes with a weighted average maturity of 9.2 years and a blended fixed rate coupon of 3.14%.
It will increase the group’s debt facilities to £665m with a weighted average interest rate of about 4.3% – down from 5.2% in the year to 31 March.
The agreements are expected to complete on 16 August.
Graham Clemett, chief financial officer at Workspace, said: “We are delighted with investor appetite for this private placement issue, a strong endorsement of the group’s business strategy and investment plans. The new notes will enable us to capitalise on current low interest rates, secure longer term funding for the group at a low cost, and put us in a strong liquidity position.”
NatWest Markets, Santander and HSBC acted as joint active agents.
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