Boston Properties’ (NYSE:BXP) operating partnership has launched an underwritten public offering of $750M of 6.750% senior unsecured notes due 2027.
The notes were priced at 99.941% of the principal amount to yield 6.763% to maturity. They will mature on Dec. 1, 2027, unless earlier redeemed.
The offering is expected to close on Nov. 17, 2022 and yield ~$743.5M in ne proceeds.
Boston Properties LP plans to allocate the proceeds to the financing and refinancing of recently completed and future “eligible green projects” in the U.S. Remaining proceeds will be used for the repayment of debt, including borrowings outstanding under its $1.5B unsecured revolving credit facility, funding development and redevelopment projects or other investment opportunities and for other uses.
BXP estimates the offering will reduce 2022 and 2023 net income attributable to common shareholders by approximately $0.02 per share and $0.08 per share, respectively, and diluted funds from operations per share by approximately $0.02 per share and $0.08 per share, respectively, due to increased net interest expense associated with the offering.
This is Boston Properties LP’s fifth green bond offering. Since its initial green bond offering in Nov 2018, the partnership has issued $3.55B of green bonds in four separate bond offerings.
Image and article originally from seekingalpha.com. Read the original article here.