Fibra Inn Announces FINN 15 Debt Tender Offer and FINN18 Debt Issuance

MONTERREY, Mexico, Feb. 15, 2018 -- Deutsche Bank Mexico, S.A., Banking institution, Trust Division F/1616 or Fibra Inn (BMV:FINN13) (ADR OTC:DFBRY) (“Fibra Inn” or “the Company”), a Mexican real estate investment trust internally managed specializing in the hotel industry serving the business traveler with global brands, announced that it has successfully carried out the Debt Tender Offering of a portion of the issuance FINN15 offering as well as the simultaneous debt issuance in the local markets for Ps. 2 billion, in the following manner:

1. A New Debt Issuance of Unsecured Trust Certificates (CBFs) for Ps. 2 billion at a fixed rate of 9.93% (base rate of 7.73% plus 220 basis point spread) for a 10-year maturity due on February 2, 2028; ticker symbol FINN18.
2. At the same time, the Company completed a Debt Tender Offer, whereby it completed the partial and early repurchase of 18,753,500 FINN15 securities, which were due to mature in 2021, for a total of Ps. 1,875.4 million. The new amount of the FINN15 tender offer is Ps. 1 billion; bringing the total amount of both issuances to Ps. 3 billion.

As was discussed previously, the purpose of these transactions was to improve the Company’s financial profile. As such, resources of the FINN18 issuance were used to repurchase FINN15 securities, which were issued in September 2015. The remaining Ps. 124.7 million will be used for the following:

• Ps. 29.0 million for the expenses related to the FINN18 issuance;
• Ps. 3.5 million for the expenses related to the public tender offer for the repurchase of FINN15;
• Ps. 12.3 million for the payment of interest related to the FINN15 coupon that is in effect;
• Ps. 79.9 million for corporate purposes that will be allocated towards investments in existing hotels.

The new issuance for FINN18 was oversubscribed by 1.44 times, which compares favorably with issuances for other securities and other fibras, also rated AA-(mex) on a local scale by Fitch Ratings and HR AA+ on a local scale by HR Ratings.

Miguel Aliaga, Chief Financial Officer, stated: “With this new debt issuance, Fibra Inn improves its overall financial conditions and upholds its commitment to continue maintaining loan-to-value levels of under 30%. The spread and the demand of the book reflect the confidence investors have in Fibra Inn, as its name is synonymous with the successful execution of its business strategy and contribution to value generation.”

Contacts:

In Monterrey, Mexico:
Lizette Chang, IRO
Fibra Inn
Tel: 52 1 (81)1778-5926
Email: [email protected] 

In New York:
Maria Barona
i-advize Corporate Communications, Inc.
Tel: (212) 406-3691
Email: [email protected] 
Twitter: @fibrainn.mx