GRUPO GICSA, S.A.B. DE C.V.: GICSA Announces Pricing of Senior Notes to be Issued by Non-Recourse Issuer Trust

MEXICO CITY, MEXICO / ACCESSWIRE / December 17, 2019 / GRUPO GICSA, S.A.B. de C.V. ("GICSA") [BMV:GICSA], a Mexican company specialized in the development, investment, commercialization and operation of shopping malls, corporate offices and mixed-use properties, announces the pricing of approximately Ps. 11,950 million in notes to be issued by Banco Actinver, S.A., Institución de Banca Múltiple, Grupo Financiero Actinver acting as trustee of the Fideicomiso Irrevocable y Traslativo de Dominio número 2400.

The Trust is a special non-recourse vehicle, independent from GICSA, which would assume ownership interest in, and consolidate cash flows from, nine projects currently owned by GICSA, including Fórum Culiacán, Torre Esmeralda III, Masaryk 111, City Walk, Fórum Cuernavaca, Explanada Puebla, Paseo Querétaro, la Isla Mérida and Explanada Pachuca (collectively, the "Properties"). The notes are expected to be placed in foreign markets and listed on the Irish Stock Exchange (Euronext Dublin), as follows:

Currency:

 
Senior A-1
 
 
Senior A-1
 
 
Senior A-2
 

Amount:

 
U.S.$100 million
 
 
Ps.7,200 million
 
 
Ps.600 million
 

Rate:

 
 
4.800%
 
 
 
9.500%
 
 
 
9.900%
 

Maturity:

 
15 years
 
 
15 years
 
 
15 years
 

The net proceeds from the issuance of the notes will be used for debt payments at a property level and general purposes of GICSA. The offering of the notes will be notified to the Mexican Banking and Securities Comission (Comisión Nacional Bancaria y de Valores) in accordance with the Mexican Securities Market Law (Ley del Mercado de Valores) and regulations thereunder.

The notes are part of a financing that includes an unsecured short term loan to be entered into by Trust 2400 for approximately Ps.2,250 million, the proceeds of which will be maintained in escrow and released to Trust 2400 upon the satisfaction of certain financial metrics relating to the Properties, and the issuance of approximately Ps.2,310 million in other securities by a separate irrevocable trust created by GICSA and its affiliates.

This announcement should not be construed as an offer to sell or a solicitation of an offer to buy any securities of GICSA, Trust 2400 or any affiliate thereof. Any securities offered by GICSA, Trust 2400 or any affiliate thereof will be made only in jurisdictions where and to the extent permitted by law and will not be or have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements. No securities will be publicly offered in Mexico absent registration or an applicable exemption under applicable law.

Forward-Looking Statements

This press release may contain forward-looking statements and involve risk and uncertainty. The words "estimates", "anticipates", "projects", "plans", "believes", "expects", "seeks" and similar expressions, are intended to identify forward-looking statements. GICSA warns readers that declarations and/or estimates mentioned in this document, or stated by GICSA's management team, are subject to a number of risks and uncertainties that could be in function of various factors that are out of GICSA's control. Future expectations reflect GICSA's judgement at the date of this document. GICSA reserves the right or obligation to update information contained in the report or derived from it. Past or present performance is not an indicator of future performance. GICSA warns that a significant number of factors may cause actual results to differ materially from estimates, objectives, expectations, and intentions expressed in this report. Neither GICSA nor any of its subsidiaries, affiliates, directors, executives, agents or employees may be held responsible before third parties (including shareholders) for any investment, decision, or action taken in relation to the information included in this document, or by any special damage or similar that may result. GICSA provides no assurance that the transactions described herein will be consummated or as to the ultimate terms of any such transactions.

About the Company

GICSA is a leading company in the development, investment, commercialization and operation of shopping malls, corporate offices and mixed used well known for their high-quality standards, which transform and create new development spaces, lifestyles and employment in Mexico, in accordance to its history and executed projects.

As of September 30, 2019, the Company owned 16 income-generating properties, consisting of ten shopping malls, five mixed use projects (which include five shopping malls, five corporate offices and one hotel), and one corporate office building, representing a total Gross Leasable Area (GLA) 911,683 square meters, and a Proportional GLA of 772,570 square meters. Since June 2015, GICSA is listed on the Mexican Stock Exchange under the ticker (BMV: GICSA B).

Investor Relations Contact:

Avril Carenzzo
+52 (55) 51 48 04 00 ext. 4609
acarenzzo@gicsa.com.mx

Yinneth Lugo
+52 (55) 51 48 04 02
ylugo@gicsa.com.mx

+ (52) 55 5148 04 00
inversionistas@gicsa.com.mx

SOURCE: GRUPO GICSA, S.A.B. DE C.V.

ReleaseID: 570596