Allens has advised Charter Hall on one of its largest ever debt capital raisings, the borrowing of $1.25 billion from an Asia-based syndicate for its Prime Industrial Fund (CPIF).
The strategically important deal sees Charter Hall borrow from 21 financial institutions arranged jointly by HSBC and MUFG Bank Ltd, extending CPIF’s average debt maturity while building its profile with lenders in the Asian debt market.
The capital raising originally sought around $500 million, with the deal upsized to $1.25 billion following a strong response from the Asian bank market.
‘We congratulate Charter Hall on this landmark capital raising, which will have a profound impact on its largest industrial fund,’ said lead Partner Mark Kidston.
‘The deal demonstrates a trend among strong property investment players to turn to global debt markets to raise funds, particularly the Asian markets.
‘Our relationship with Charter Hall dates back to its IPO in 2005, and we were pleased to draw on our detailed understanding of their fund structures to provide fast and efficient advice in this matter.’
The transaction follows Charter Hall’s $800 million debt raising in the Asian market for its Prime Office Fund last year as well as Charter Hall Office Trust’s recent establishment of a sustainability linked loan platform and the linked raising of a $500 million syndicated facility, each of which Allens advised Charter Hall on.
