Aroundtown raises €500m through bond issue

Aroundtown Properties has raised €500 million of fresh capital through the placement of a bond priced at 1.875 percent.

Aroundtown Properties has raised €500 million of fresh capital through the placement of a bond priced at 1.875 percent.

The company, which focuses its investment activities on the Dutch and German markets, said in an announcement that it will use the funds to support its growth strategy as well as to refinance and repay existing debt.

Aroundtown, and its wholly-owned subsidiary ATF Netherlands, placed the notes through its €1.5 billion Euro Medium Term Note programme at an issue price of 97.087 percent of the principal amount of the notes. The bonds are due to mature in 2026.

The notes will be issued by ATF and will be guaranteed by Aroundtown. Goldman Sachs, JP Morgan, Morgan Stanley and UBS acted as bookrunners for the offering.

Aroundtown is listed on the Frankfurt Stock Exchange. The property investor focuses on value-add and income-generating real estate in the German and Dutch markets, including  commercial and residential property. The firm also holds a “substantial interest” in Grand City Properties publicly-traded real estate company Grand City Properties.

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