Inmobiliaria Vesta debuted in the international sustainable bond market, thus becoming the first real estate company to issue a bond linked to environmental, social and governance (ESG) issues outside of Latin America and the first Mexican company in the sector to be rated investment grade by S&P, a credit rating agency.

The real estate developer of the industrial sector, reported in a statement, that it received financing for 350 million dollars from foreign investors with the sale of sustainable bonds, these resources will be used to refinance around 250 million dollars.

The thematic debt was placed for a 10-year term and at an interest rate of 3.625%. The fact that the offer registered an over-demand of 3.4 times with respect to the amount placed was highlighted.

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“We closed the bond with a wide range of truly outstanding global investors, which is a further affirmation of the continued confidence of the financial community in our financial soundness, strategy and ability to meet our objectives. With this global public offering, we have the best-in-class capital structure in the real estate industry to drive our Company's future growth in today's exciting market environment, "said Lorenzo Dominique Berho, CEO of Vesta.

In the statement, the company said that the net proceeds of the issue "will be used to prepay the existing debt, extending the maturity profile without significant repayments until 2026."

As reported by the company, until March its debt amounted to 839.80 million dollars, of which 792.50 million dollars corresponded to liabilities with long-term maturity.

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The papers received a credit rating of BBB- by S&P Global Ratings and Baa3 by Moody's, levels that are in the last step of the investment grade.

“The rating reflects Vesta's geographic presence in regions that generate close to 60% of Mexico's Gross Domestic Product (GDP), its portfolio makes it one of the largest participants in the industry, its customer base without much concentration in a tenant only, ”Moody's stated in its review.

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