Investa Property Group
A growing segment of corporate Australasia is stepping up to the plate on sustainability, taking the lead among peers and in many cases government. The issues are complex, especially when it comes to transition management, but the wins are starting to stack up – including in the capital-markets arena.
Investa Commercial Property Fund (ICPF) has closed a A$170 million (US$122.3 million) green loan having tagged its entire asset portfolio against the Climate Bonds Initiative (CBI) low-carbon-building criteria emission thresholds. The facility is bilateral with ANZ, but the borrower says green loans should be able to find new liquidity and pave the way for more downline green-bond issuance.
On 2 November, Oxford Property Group (Oxford Property) launched a conditional offer for up to A$150 million (US$108.2 million) of Investa Office Fund (IOF) notes, due April 2024. The purchase price under the offer will be 100 per cent plus accrued interest up to and including the purchase date, expected in December 2018. ANZ is sole facilitator for the offer.
On 2 August, Quartz Finance, an entity owned by Blackstone Group, launched a conditional purchase offer for up to A$150 million (US$111.1 million) of Investa Office Fund (IOF)’s green-bond line due April 2024. The purchase price under the offer will be 100 per cent plus 1.782 per cent for accrued interest up to and including the proposed implementation date, 5 September.
On 26 July, Quartz Finance, an entity owned by Blackstone Group (Blackstone), appointed National Australia Bank to co-ordinate the purchase of Investa Office Fund (IOF)’s A$150 million (US$111.6 million) green-bond line which had been set to mature in April 2024. The purchase of the notes is subject to the finalisation of Blackstone’s acquisition of IOF.
In March, for the first time, KangaNews hosted its Sustainable Debt Summit as a full-day event, reflecting the exponential growth in interest in environmental, social and governance (ESG) integration in the fixed-income universe. The sector is now much broader than green-bond issuance, as reflected in discussions at the KangaNews event.