Hammerson wraps up refinancings

Hammerson has completed refinancing deals that its finance boss said would leave the REIT positioned for “the opportunities ahead of us”. Having sold an oversubscribed £400m bond, the company has also completed tender offers for its existing issuances maturing in 2026 and 2028.  The latter deals saw the company repurchase £411.6m of bonds, comprising £168.4m of 6% 2026s and £243.2m of 7.25% 2028s. The refinancings give Hammerson an annualised net interest benefit of £3.6m per year, reduce its weighted average gross interest from 3.8% to 3.6% and extend its weighted average debt maturity from 2.9 years to 5.2 years. Chief financial officer Himanshu Raja said: “The combined effect of our new £400m 5.875% bond maturing in 2036 and the tender of our existing short-dated sterling maturities reduces our ongoing interest costs and extends our weighted average debt maturity. “The strong demand and competitive pricing are a clear recognition from investors of the strength of our portfolio, the robust balance sheet and the opportunity ahead of us.”