Citycon Group successfully places EUR 300 million Eurobond

CITYCON OYJ   Stock Exchange Release   22 August 2018 at 17:45 hrs

NOT TO BE RELEASED, PUBLISHED OR DISTRIBUTED, DIRECTLY OR INDIRECTLY, IN WHOLE OR IN PART IN OR INTO OR TO ANY PERSON LOCATED IN OR RESIDENT IN THE UNITED STATES, ITS TERRITORIES AND POSSESSIONS, ANY STATE OF THE UNITED STATES OR THE DISTRICT OF COLUMBIA (TOGETHER THE "UNITED STATES"), AUSTRALIA, CANADA OR JAPAN OR ANY OTHER JURISDICTION IN WHICH THE DISTRIBUTION OR RELEASE WOULD BE UNLAWFUL.

Citycon Group has successfully placed a EUR 300 million Eurobond (the "Bond"). The issuer of the Bond is Citycon Treasury B.V. and the guarantor is Citycon Oyj. The long 8-year guaranteed euro-denominated Bond matures on 15 January 2027 and carries fixed annual interest at the rate of 2.375 per cent, payable annually on 15 January.

Citycon Treasury B.V. has applied for the Bond to be admitted to the Official List of the Irish Stock Exchange and to trade on its regulated market. The Bond has been rated BBB by Standard & Poor's and Baa2 by Moody's, in line with Citycon's corporate credit rating.

The net proceeds from the offering will mainly be used to partially repay and refinance Citycon Group’s existing indebtedness including purchasing a Euro denominated bond issued by Citycon Oyj for a certain fixed amount in accordance with the cash tender offer published by Citycon Oyj on 22 August 2018 and, to a lesser extent, for general corporate purposes.

CFO and Executive Vice President Eero Sihvonen: “We are pleased to have successfully placed this long 8-year bond to a broad base of investors, demonstrating Citycon’s credit quality.”

Deutsche Bank, Nordea, OP and Citibank acted as joint lead managers.

Helsinki, 22 August 2018

CITYCON OYJ


For further information, please contact:
Marcel Kokkeel
Chief Executive Officer
Tel. +358 40 154 6760
marcel.kokkeel@citycon.com

Eero Sihvonen
Executive VP and CFO
Tel. +358 50 557 9137
eero.sihvonen@citycon.com

Citycon Oyj (Nasdaq Helsinki: CTY1S) is a leading owner, developer and manager of urban grocery-anchored shopping centres in the Nordic and Baltic regions, managing assets that total approximately EUR 4.5 billion and with market capitalisation of approximately EUR 1.7 billion. For more information about Citycon Oyj, please visit www.citycon.com

Important regulatory notice

This announcement does not constitute, or form part of, an offer or invitation to sell or issue, or any solicitation of an offer to buy or subscribe for, any securities in the United States or any other jurisdiction nor shall it (or any part of this announcement) or the fact of its distribution form the basis of, or be relied upon in connection with, or act as any inducement to enter into, any contract or commitment.  Recipients of this announcement who intend to purchase any securities are reminded that any such purchase or subscription must be made solely on the basis of the information contained in any final form prospectus published in connection with any such securities, which if and when published will be available on the website of the Central Bank of Ireland.  The transaction described above and the distribution of this announcement and other information in connection with the transaction in certain jurisdictions may be restricted by law and persons into whose possession any document or other information referred to herein comes should inform themselves about and observe any such restriction.  Any failure to comply with these restrictions may constitute a violation of the securities laws of any such jurisdiction.

This communication is not an offer of securities for sale in the United States, Australia, Canada, Japan or any other jurisdiction where to do so would be unlawful.  Neither Citycon Oyj nor Citycon Treasury B.V. has registered, or intends to register, securities in any of these jurisdictions or to conduct an offer of securities for sale in any of these jurisdictions.  In particular, no securities of Citycon Oyj or Citycon Treasury B.V. have been or will be registered under the U.S. Securities Act of 1933, as amended (the "Securities Act"), and such securities may not be offered, sold or delivered within the United States or to, or for the account or benefit of, U.S. persons (as defined in Regulation S under the Securities Act) except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and in compliance with any applicable state securities laws.

This announcement is directed only at (i) persons who are outside the United Kingdom or (ii) to investment professionals falling within the definition of "investment professionals" in Article 19 of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, as amended (the “Order”) or (iii) high net worth companies, and other persons to whom it may lawfully be communicated, falling within Article 49(2)(a) to (d) of the Order (all such persons in (i), (ii) and (iii) above together being referred to as "relevant persons").

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