Unibail-Rodamco-Westfield’s management team is considering “all potential strategies” to strengthen its balance sheet, measures which are thought to include a multi-billion-euro equity raising.
The shopping centre owner responded to press reports of a possible €3bn (£2.7bn) rights issue, outlining the steps taken so far to boost its liquidity.
At the end of June, the company had €12.7bn in cash and undrawn credit lines. During the coronavirus pandemic it has cancelled dividends, delayed non-essential capital expenditure, dropped developments and sold five French shopping centres.
“Deleveraging is a priority for URW,” the company said, pointing to plans to sell €4bn of assets “in the next couple of years” in addition to €4.8bn of disposals completed since mid-2018.
“In addition, the supervisory board and management board continue to weigh the merits of all potential strategies to strengthen URW’s financial profile in line with their respective fiduciary duties,” the statement added. “However, no decision has been made yet on any of the available additional deleveraging options.”
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