AIMCo Realty Completes Inaugural $500 million Green Bond Offering
Edmonton, Alberta – AIMCo Realty Investors LP (“AIMCo Realty”) today announced that it has concluded the sale of $500 million of aggregate principal amount of Series 5 senior unsecured notes maturing November 4th, 2026 (the "Notes"). The Notes are AIMCo Realty’s inaugural green bond issuance pursuant to its Green Financing Framework. The Notes were offered on an agency basis by a syndicate of agents co-led by Scotia Capital Inc. and CIBC World Markets Inc. as Joint Bookrunners and included TD Securities Inc. and RBC Dominion Securities Inc. as Co-Managers.
The Notes have a coupon of 2.195%, are rated AA (low) by DBRS Limited and are payable in equal semi-annual installments on May 4 and November 4 in each year, commencing May 4, 2022 until the maturity date.
AIMCo Realty intends to allocate the net proceeds of the offering to fund the financing and/or refinancing of eligible green projects as described in its Green Financing Framework, which is available on Alberta Investment Management Corporation’s (“AIMCo”) website.
“With our inaugural issuance of green bonds, AIMCo Realty is proactively enabling sustainable real estate development. This bond offering will help us further our intertwined goals of achieving superior investment returns and enhanced ESG performance,” said Tony Vadacchino, Vice President, Real Estate at AIMCo.
“AIMCo Realty’s first green bond issuance received considerable interest from investors, and further enables us to finance sustainable real estate development on behalf of AIMCo’s clients,” said Micheal Dal Bello, Senior Vice President, Real Estate at AIMCo.
About AIMCo Realty
AIMCo Realty is the primary vehicle of AIMCo to invest in Canadian real estate on behalf of AIMCo’s public pension, endowment and government fund clients. AIMCo Realty provides exposure to domestic real estate through direct holdings diversified across property types and geographies.
In keeping with its commitment to transparency, AIMCo’s clients and stakeholders will have the ability to assess AIMCo Realty’s progress on its green financing program through annual updates posted to AIMCo’s website until the net proceeds of any green financing are fully allocated to eligible green projects. Copies of AIMCo Realty’s Green Financing Framework, and Sustainalytics’ second party opinion are available on AIMCo’s website.
CAUTION REGARDING FORWARD LOOKING INFORMATION
This press release contains forward-looking statements and forward-looking information within the meaning of applicable securities laws with respect to AIMCo Realty, AIMCo Realty’s expected investment in eligible green projects, and its operations, strategy, financial performance and condition. The use of any of the words "expect", "anticipate", "continue", "estimate", "objective", "ongoing", "may", "will", "project", "should", "believe", "plans", "intends", "goal" and similar expressions are intended to identify forward-looking information or statements. The forward-looking statements and information are based on certain key expectations and assumptions made by AIMCo Realty, including general economic conditions. Although AIMCo Realty believes that the expectations and assumptions on which such forward-looking statements and information are based are reasonable, undue reliance should not be placed on the forward-looking statements and information because AIMCo Realty can give no assurance that they will prove to be correct. By its nature, such forward-looking information is subject to various risks and uncertainties, which could cause the actual results and expectations to differ materially from the anticipated results or expectations expressed, and given the impact of the COVID-19 pandemic and government measures to contain it, there is inherently more uncertainty associated with AIMCo Realty’s assumptions as compared to prior periods. These risks and uncertainties include, but are not limited to, risks related to: the direct or indirect impacts of COVID-19; real property ownership; availability of cash flow; competition for real property investments; government regulation; interest rates and financing; environmental matters and AIMCo Realty being unable to obtain any required financing and approvals. Readers are cautioned not to place undue reliance on this forward-looking information, which is given as of the date hereof, and to not use such forward-looking information for anything other than its intended purpose. AIMCo Realty undertakes no obligation to update publicly or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.
This press release shall not constitute an offer to sell, or the solicitation of an offer to buy, any AIMCo Realty securities in any jurisdiction. A credit rating is not a recommendation to buy, sell or hold securities and may be subject to revision or withdrawal at any time.