Land Securities has completed the refinancing of the group’s mortgage debentures and unsecured bonds.
The company received an average acceptance rate of over 97% following its announcement that it was to carry out a £2bn securitisation to lower the cost of borrowing.
Chief executive Francis Salway said: “With reduced funding costs and enhanced operational flexibility, we believe that our financing structure is well placed to support the group’s strategy.”
According to Michael Prew of Citigroup: “The reversal of the large investment property company share prices on the digestion of this Land Securities’ statement seems to imply that the equity market is anticipating further debt restructuring although the low point in this cycle has passed.”
References: EGi News 04/11/04
