MEXICO CITY--(BUSINESS WIRE)--FIBRA Macquarie México (FIBRA Macquarie) (BMV: FIBRAMQ) announced the successful completion of its previously communicated US$210 million loan refinancing. The new loan is a 10-year, non-amortizing, non-recourse, secured loan with a fixed interest rate of 5.38 percent. Proceeds were used to fully prepay an approximate US$180 million secured loan due to mature on February 1, 2018. The balance was used to pay down revolver drawings to a current level of US$65 million.
Since 30 June 2016, FIBRAMQ has successfully raised the equivalent of US$1.1 billion of debt, primarily utilized to refinance debt. In doing so, FIBRAMQ has delivered significant benefits, including:
- Extended weighted average tenor of debt outstanding to 6.2 years from 1.4 years resulting in a smoother debt maturity profile
- Increased proportion of fixed-rate funding to 92.8 percent from 73.0 percent
- Established a revolving credit facility with current undrawn availability of US$202.0 million
- Increased and diversified sources of financing from 3 to 13 lenders
- Reduced the proportion of secured debt from 100.0 percent to 28.6 percent
“We are very pleased with the ongoing enhancements we have made to our balance sheet,” said Juan Monroy, FIBRA Macquarie’s chief executive officer. “We have meaningfully improved our capital position, enhanced our flexibility, extended maturities, have a more favorable mix of fixed and unsecured debt, and a wider group of lenders. With these improvements, we are well positioned to continue to execute on our strategic plan.”
FIBRA Macquarie does not have any maturities until April 2019.
Metric |
Pre-30 June |
June 30, 2016 | September 30, 2016 | September 13, 2017 1 | ||||
Total debt | US$995m | US$931m | US$908m | US$907m | ||||
Average cost of debt (p.a.) | 5.1% | 5.1% | 4.9% | 5.3%2 | ||||
Debt tenor (weighted avg) | 1.4 yrs | 4.2 yrs | 4.8 yrs | 6.2 yrs | ||||
Total revolver | N/A | US$219m | US$259m | US$267m1 | ||||
Undrawn revolver | N/A | US$32m | US$161m | US$202m1 | ||||
Drawn Revolver | N/A | US$187m | US$98m | US$65m | ||||
Number of lenders | 3 | 11 | 13 | 13 | ||||
Secured debt (% of total debt) | 100.0% | 29.8% | 25.0% | 28.6% | ||||
CNBV regulatory LTV | 40.2% | 39.1% | 38.5% | 37.0%3 | ||||
CNBV regulatory DSCR | 1.6x | 1.4x | 1.1x | ~4.2x | ||||
Fixed Rate | 73.0% | 57.0% | 89.0% | 92.8% | ||||
US Dollar Denominated Debt | 90.0% | 90.0% | 95.0% | 94.6%1 | ||||
Unencumbered Assets | 0.0% | 75.4% | 80.5% | 77.8% |
1. FX at 17.6443. Other periods shown using closing FX for such period |
2. 90 day Libor at 1.32% and 30 day Libor at 1.24% as of Aug 29, 2017 |
3. CNBV Regulatory LTV as of June 2017 |
Please refer to the following table summarizing FIBRA Macquarie’s loans outstanding and drawn revolver commitments as of 13 September 2017.
Debt Associated with Wholly-Owned Properties | |||||||||||||||||||||
Lenders | Ccy |
Outstanding |
Outstanding |
Interest Type |
Rate p.a. | Amortization | Security Type |
Commence- |
Maturity |
Extended |
|||||||||||
Various Banks through a Credit Facility - Term Loan |
USD | 258.0 | 4,617.5 | Fixed2 | 4.33% | Interest Only | Unsecured | 17/06/2016 | 17/06/2020 | 17/06/2021 | |||||||||||
Various Banks through a Credit Facility - Revolving Credit Facility |
USD | 65.0 | 1,700.2 | Variable |
30 day LIBOR +2.75% |
Interest Only | Unsecured | 17/06/2016 | 17/06/2019 | 17/06/2020 | |||||||||||
Ps. | - | - | Variable |
TIIE 28 +2.45% |
|||||||||||||||||
Various Insurance Companies through a Note Purchase and Guaranty
Agreement - Term Loan |
USD | 250.0 | 4,474.3 | Fixed | 5.55% | Interest Only | Unsecured | 17/06/2016 | 17/06/2023 | - | |||||||||||
USD | 75.0 | 1,342.3 | Fixed | 5.44% | 30/09/2016 | 17/09/2026 | - | ||||||||||||||
Metropolitan Life Insurance Company - Term Loan |
USD | 210.0 | 3,230.5 | Fixed | 5.38% | Interest Only3 | Guaranty Trust, among others4 | 12/09/2017 | 01/09/2027 | - | |||||||||||
Total | 858.0 | 15,364.9 | |||||||||||||||||||
Debt Associated with Grupo Frisa JV6 |
|||||||||||||||||||||
Lenders | Ccy |
Initial |
Initial |
Interest Type | Rate p.a. | Amortization3 | Security Type4 |
Commence- |
Maturity |
Extended |
|||||||||||
(Fixed/Variable) | |||||||||||||||||||||
Metropolitan Life Insurance Company - Term Loan |
Ps. | 32.7 | 577.5 | Fixed | 8.50% | Interest Only | Guaranty Trust, among others | 06/12/2016 | 06/12/2023 | - | |||||||||||
Metropolitan Life Insurance Company - Term Loan |
Ps. | 16.3 | 288.0 | Fixed | 7.61% | Interest Only | Guaranty Trust, among others | 14/03/2014 | 01/04/2019 | - | |||||||||||
Total | 49.1 | 865.5 |
1. Excludes capitalized upfront borrowing costs which are amortized over the term of the relevant loan. FX: Ps. 17.6443 per USD. |
2. Fixed by a corresponding interest rate swap. Term loan has a variable interest type calculated at 90 day LIBOR+3.125% p.a. spread. |
3. Interest only subject to compliance with certain debt covenants. |
4. Lenders have recourse only to the properties, cash flows and other reserves constituted under the facilities, except under certain limited circumstances in which the lenders have recourse to FIBRA Macquarie. |
5. Extension at FIBRA's option, subject to meeting certain conditions. |
6. Amounts stated represent FIBRA Macquarie’s proportionate share. |
About FIBRA Macquarie
FIBRA Macquarie México (FIBRA Macquarie) (BMV:FIBRAMQ) is a real estate investment trust (fideicomiso de inversión en bienes raíces), or FIBRA, listed on the Mexican Stock Exchange (Bolsa Mexicana de Valores) targeting industrial, retail and office real estate opportunities in Mexico, with a primary focus on stabilized income-producing properties. FIBRA Macquarie’s portfolio consists of 274 industrial properties and 17 retail/office properties, located in 22 cities across 18 Mexican states as of June 30, 2017. Nine of the retail/office properties are held through a 50/50 joint venture with Grupo Frisa. FIBRA Macquarie is managed by Macquarie México Real Estate Management, S.A. de C.V. which operates within the Macquarie Infrastructure and Real Assets division of Macquarie Group. For additional information about FIBRA Macquarie, please visit www.fibramacquarie.com.
Macquarie Infrastructure and Real Assets (MIRA) pioneered infrastructure as a new asset class for institutional investors. For more than 20 years it has been investing in and managing the assets that people use every day - extending beyond Infrastructure to Real Estate, Agriculture and Energy. MIRA’s dedicated operational and financial experts work where MIRA’s funds invest and the portfolio companies operate. They are part of a global team which helps clients to see across the regions and deep into local markets. As of March 31, 2017, MIRA has assets under management of more than $118 billion.
About Macquarie Group
Macquarie Group (Macquarie) is a global provider of banking, financial, advisory, investment and funds management services. Macquarie’s main business focus is making returns by providing a diversified range of services to clients. Macquarie acts on behalf of institutional, corporate and retail clients and counterparties around the world. Founded in 1969, Macquarie operates in more than 70 office locations in 28 countries. Macquarie employs approximately 13,597 people and has assets under management of more than $367 billion (as of March 31, 2017).
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