INDIANAPOLIS, May 22, 2017 /PRNewswire/ -- Simon, a global
leader in premier shopping, dining and entertainment destinations,
announced today that its majority-owned operating partnership
subsidiary, Simon Property Group, L.P., (the "Operating
Partnership"), has agreed to sell $600
million principal amount of its 2.625% senior notes due
June 15, 2022, and $750 million principal amount of its 3.375%
senior notes due June 15, 2027.
Combined, the new issues of senior notes have a weighted average
term of 7.8 years and a weighted average coupon rate of 3.04%. The
offering is expected to close on June 1,
2017, subject to customary closing conditions.
The Operating Partnership intends to use the net proceeds of the
offering to fund the planned optional redemption of its 5.65% notes
due 2020 and to use any additional net proceeds for
general corporate purposes.
Deutsche Bank Securities Inc., J.P. Morgan Securities LLC,
Merrill Lynch, Pierce, Fenner & Smith Incorporated and Morgan
Stanley & Co. LLC are serving as joint book-running managers of
the public offering, which is being conducted under the Operating
Partnership's shelf registration statement filed with the
Securities and Exchange Commission. Any offer of securities
will be made by means of the prospectus supplement and accompanying
prospectus.
When available, copies of the prospectus supplement and
accompanying prospectus can be obtained by contacting: Deutsche
Bank Securities Inc., Attention: Prospectus Group, 60 Wall Street,
New York, NY 10005-2836, (800)
503-4611, or email at prospectus.cpdg@db.com; J.P. Morgan
Securities LLC, 383 Madison Avenue, New
York, NY 10179, Attention: Investment Grade Syndicate Desk —
3rd Floor, collect: (212) 834-4533; Merrill Lynch, Pierce, Fenner
& Smith Incorporated, 200 North College Street, NC1-004-03-43,
Charlotte NC 28255-0001, Attn:
Prospectus Department, toll-free: 1-800-294-1322, e-mail:
dg.prospectus_requests@baml.com; or Morgan Stanley, 180 Varick
Street, 2nd Floor, New York, NY
10014, Attention: Prospectus Department.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy, nor shall there be any sale of,
these securities in any state or other jurisdiction in which such
offer, solicitation or sale would be unlawful prior to registration
or qualification under the securities laws of any such state or
other jurisdiction.
Forward-Looking Statements
Certain statements made in
this press release may be deemed "forward‑looking statements"
within the meaning of the Private Securities Litigation Reform Act
of 1995. Although we believe the expectations reflected in any
forward‑looking statements are based on reasonable assumptions, we
can give no assurance that its expectations will be attained, and
it is possible that our actual results may differ materially from
those indicated by these forward‑looking statements due to a
variety of risks, uncertainties and other factors. Such factors
include, but are not limited to: changes in economic and market
conditions that adversely affect the general retail environment;
the potential loss of anchor stores or major tenants; the inability
to collect rent due to the bankruptcy or insolvency of tenants or
otherwise; decreases in market rental rates; the intensely
competitive market environment in the retail industry; the
inability to lease newly developed properties and renew leases and
relet space at existing properties on favorable terms; risks
related to international activities, including, without limitation,
the impact of the United Kingdom's
vote to leave the European Union; changes to applicable laws or
regulations or the interpretation thereof; risks associated with
the acquisition, development, redevelopment, expansion, leasing and
management of properties; general risks related to real estate
investments, including the illiquidity of real estate investments;
the impact of our substantial indebtedness on our future
operations; any disruption in the financial markets that adversely
affects our ability to access capital for growth and satisfy our
ongoing debt service requirements; any change in our credit rating;
changes in market rates of interest and foreign exchange rates for
foreign currencies; changes in the value of our investments in
foreign entities; our ability to hedge interest rate and currency
risk; our continued ability to maintain our status as a REIT;
changes in tax laws or regulations that result in adverse tax
consequences; risks relating to our joint venture properties;
environmental liabilities; changes in insurance costs and the
availability of comprehensive insurance coverage; security breaches
that could compromise our information technology or infrastructure;
natural disasters; the potential for terrorist activities; and the
loss of key management personnel. We discuss these and other risks
and uncertainties under the heading "Risk Factors" in our
annual and quarterly periodic reports filed with the SEC. We
may update that discussion in our periodic reports, but except
as required by law, we undertake no duty or obligation to update or
revise these forward-looking statements, whether as a result of new
information, future developments, or otherwise.
About Simon
Simon is a global leader in the ownership
of premier shopping, dining, entertainment and mixed-use
destinations and an S&P 100 company (Simon Property Group,
NYSE: SPG). Our properties across North
America, Europe and
Asia provide community gathering
places for millions of people every day and generate billions in
annual sales.
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SOURCE Simon Property Group, Inc.