ATLANTA--(BUSINESS WIRE)--
Americold Realty Trust (NYSE: COLD) (the “Company” or “Americold”), the
world’s largest owner and operator of temperature-controlled warehouses,
announced today that the Company has closed an aggregate principal
amount of $600 million of senior unsecured notes (the “Notes”) in an
institutional private placement. The Notes, which carry a weighted
average interest rate of 4.80% and a weighted average duration of nine
years, consist of $400 million of 4.86% Senior Notes due January 8, 2029
and $200 million of 4.68% Senior Notes due January 8, 2026. The Company
intends to use the net proceeds from the issuance of the Notes and cash
on the balance sheet to retire $444.9 million of CMBS debt due 2021, AUD
$203.0 million of Australian secured term loan debt due 2020, and NZD
$44.0 million of New Zealand secured term loan debt due 2020 and to fund
transaction-related costs.
“With the successful completion of our inaugural issuance of senior
unsecured notes and our recent credit facility upsizing, we have
proactively reduced our cost of capital, addressed our upcoming debt
maturities, and increased our financial flexibility. While our upsized
revolver provides enhanced liquidity, we have successfully transitioned
to an unsecured structure with improved pricing and terms,” stated Marc
Smernoff, Executive Vice President and Chief Financial Officer of
Americold Realty Trust. “With these financings, we have extended our
weighted average term to maturity to 6.8 years from 3.9 years, and 70%
of our debt is now unsecured. Having achieved key milestones in our
ongoing effort to lower our cost of capital and position our balance
sheet for long term growth, we continue to focus on creating long term
shareholder value through the execution of our strategy within the
temperature-controlled infrastructure and supply chain industry.”
In addition to this transaction, the Company closed on a recast of its
credit facilities, increasing the size of the revolver from $450 million
to $800 million. The credit facilities converted from a secured to an
unsecured structure, now totaling $1.275 billion, consisting of an $800
million revolver and a $475 million term loan. In conjunction with the
refinancing, pricing for the credit facilities was tightened by 90 basis
points at the Company's current leverage level, and the unused fee for
the revolver was reduced by five basis points. The revolver also
provides the Company with additional flexibility through the ability to
draw proceeds in multiple currencies. The $800 million revolver matures
in January 2022, inclusive of one twelve-month extension option, and the
$475 million term loan matures in January 2023.
The Notes have not been and will not be registered under the Securities
Act of 1933, as amended (the “Securities Act”), and are being offered
and sold in reliance on the exemption from registration provided by
Section 4(a)(2) of the Securities Act. The Notes may not be offered or
sold in the United States absent registration or an applicable exemption
from the registration requirements under the Securities Act and
applicable state securities laws. This press release is neither an offer
to sell nor a solicitation of an offer to buy the Notes or any other
securities and shall not constitute an offer, solicitation or sale in
any jurisdiction in which such offer, solicitation or sale is unlawful.
About Americold Realty Trust
Americold is the world’s largest owner and operator of
temperature-controlled warehouses. Based in Atlanta, Georgia, Americold
owns and operates 156 temperature-controlled warehouses, with
approximately 928 million refrigerated cubic feet of storage, in the
United States, Australia, New Zealand, Canada, and Argentina.
Americold’s facilities are an integral component of the supply chain
connecting food producers, processors, distributors and retailers to
consumers.
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Americold Realty Trust
Investor Relations
Telephone:
678-459-1959
Email: investor.relations@americold.com
Source: Americold Realty Trust