Grand City Properties Completes Perpetual Note Refinancing

Grand City Properties SA has announced a successful refinancing of its perpetual notes by placing €600 million in new notes with a 5.25% coupon. In tandem, the company initiated a tender offer for its outstanding €603 million notes, callable in 2026. The new issuance serves to finance this offer, effectively refinancing the entire perpetual notes portfolio.

The deal addresses three key aspects: it concludes a challenging refinancing cycle on favorable terms, removes a short-term capital structure burden, and provides the company with enhanced funding visibility until 2031. This strategic financial maneuvering underpins the "Buy" recommendation from First Berlin Equity Research, maintaining a target price of €14.80, indicating a potential 50% upside.