The Board of Directors of AEDAS Homes, Spain's leading homebuilder, has approved the launch of a tender offer to partially repurchase its green bond issued in May 2021, which raised €325 million with a 4% annual interest rate and a maturity of more than five years.
The Spanish residential developer has proposed a tender offer to repurchase up to €50 million, while reserving the right to accept a higher or lower amount, at a maximum price equivalent to 99% of the nominal value of the bond issuance. The offer is aimed at bondholders who can participate starting today, 20 March, until 27 March 2024.
“This tender offer aims to optimize and reduce the existing gross debt, thus improving maturity dates and financial costs for the company”, explained Maria José Leal, CFO of AEDAS Homes. It is worth noting that the credit risk of this bond issuance was rated by S&P, Fitch and Moody's at BB-, BB and Ba2, respectively, earning the highest rating in the EMEA homebuilding sector, and that these ratings have been maintained since it was issued.
Once the tender offer has ended and has been settled, AEDAS Homes intends to cancel the repurchased amount of the bond along with other repurchases made in previous transactions. Goldman Sachs is acting as the sole Dealer Manager for the operation, with Morrow Sodali acting as the tender and information agent (the "Tender Agent").
This partial repurchase is part of the company's decision to maintain a suitable level of leverage while offering attractive shareholder remuneration.
Earlier this week AEDAS Homes announced the distribution of a gross interim dividend of €2.25 per share based on the results of the current fiscal year 2023/24 (ending 31 March), which translates into total remuneration of €97 million.
