In Short

• The loan was over 2x oversubscribed, backed by 13 European and Asian banks.
• Funds will be used to refinance a 2023 loan.

CTP N.V., which is Europe’s largest listed developer, owner, and manager of logistics and industrial real estate (based on gross lettable area), has announced the signing of a new loan agreement.

The company has secured a €500 million syndicated sustainability-linked loan with a five-year term. The loan is tied to sustainability goals, meaning that the loan terms may be influenced by how well CTP meets specific environmental or social objectives.

The loan is unsecured, where CTP did not have to pledge any specific assets as collateral. It comes at a fixed all-in interest cost of 3.7% and helps the company plan its repayments more predictably.

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The deal attracted interest from banks, with total demand more than twice the amount CTP was seeking, making it over 2x oversubscribed. This level of interest indicates lenders have high confidence in the company’s performance and sustainability strategy.

The loan was arranged by a syndicate of 13 banks from both Europe and Asia. Two banks, SMBC and ING, acted as the Global Coordinators and Sustainability Coordinators, and helped structure and manage the deal.

CTP plans to use this new facility mainly to refinance a previous loan signed in 2023. By doing this, the company expects to lower its interest payments as well as reduce the overall cost of its debt and improve its financial efficiency and stability.

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Source: CTP