MANAGER’S REPORT
DEBT MATURITY PROFILE
2016
2017
2018
2019
2020
2015
200.0
100.0
0.0
S$ Million
MTN
Club Loan
Term Loan
As of 31 December 2014, CIT’s gearing ratio is 34.8% and is in line with the long term target of the Trust. The debt
maturity profile of CIT as at 31 December 2014, after adjusting for the following is shown below:
• additional S$55 million note issuance at 3.5% p.a, maturing on 5 November 2018, in January 2015; and
• repayment of S$50 million note at 4.75% p.a, due in March 2015
In January 2015, we completed a secondary issuance of
S$55 million on the 4 year MTN issued in November 2014,
bearing a coupon yield of 3.5% p.a. The issuance was 1.4
times subscribed and 99% of the issuance was held by
institutional investors. The proceeds arising from the issue
were used to retire the expiring S$50m MTN in March
and to fund general working capital needs. Following the
completion of this transaction, there is no debt due for
refinancing in FY2015.
In 2014, CIT continued to experience encouraging take-up
rates in the DRP. The DRP allows existing Unitholders to
elect to receive their distribution in units. CIT successfully
completed four quarters of the DRP exercise in FY2014 with
the take-up rates ranging from 23% to 41%. We believe the
DRP is an efficient way to raise additional working capital
whilst enabling Unitholders to acquire additional units in
CIT at a discount of 2% and at no transaction cost.
In summary, 2014 was a fruitful year. We expect 2015 will
be an equally challenging and demanding year for CIT.
We are committed to successfully implementing on our
core strategies with the objective of creating sustainable
growth and value for CIT’s Unitholders.
200
100
155
30
CAMBRIDGE INDUSTRIAL TRUST | ANNUAL REPORT 2014
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