Aedas Homes has renewed its Commercial Paper programme, increasing its size to a maximum outstanding amount of 150 million euros of short term debt issued up to a 24 month of maturity.
The Commercial Paper Programme is coordinated by PKF Attest, which also acts as Registered Adviser on MARF. Banco Santander, Banco Sabadell, Fidentiis and Norbolsa act as dealers of the programme.
Aedas Homes, whose debut on the Spanish Stock Exchange took place in October 2017, is a nationally operating property developer, whose main objective is to lead this new stage in the Spanish real estate sector. The company operates in Andalusia, Madrid, the Spanish Mediterranean coast, Catalonia and Mallorca with a portfolio of residential fully permitted land exceeding 1.5 million sq.m.
The consolidated revenues of the company in 2018 were €79.8 million and a net income of €3.9 million.
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Commercial Papers are an efficient source of funding
Commercial Papers are short-term money-market securities used as a funding source by financial institutions, as well as governments, supranational agencies and mid and large corporations.
For corporate issuers, Commercial Papers are an extremely efficient funding source, that is complementary to banking facilities and credit lines. It is an efficient working capital solution via Debt Capital Markets.
Commercial Papers are issued under a shelf programme, that has an annual validity (renewable) and a predetermined maximum outstanding size. Notes under a CP programme may be issued at a discount or at a premium, they may bear fixed or floating rate interest. Although CPs, most usually, carry an implicit coupon, they are issued at discount and mature at par (100%)
Maturity of notes ranges from 3 days to 24 months for Pagarés Programmes and from 1 to 364 days for ECP (European Commercial Paper Programmes).
Commercial Papers are multi-currency instruments that can be issued in different currencies; predominantly in EUR, USD, CHF and GBP. They have a minimum denomination of €100K and are intended for wholesale institutional investors, both national and international.
Source: BME (See the entire post)
