Westfield Lands $4B Facility

SYDNEY-The Westfield Group closed on a $4-billion loan from a worldwide syndicate of 34 banks. The financing, increased from $2.5 billion due to oversubscription, will be used to refinance existing debt at lower interest rates and for “general corporate purposes” believed to include significant acquisitions in the UK.

The Westfield Group was formed this summer when US mall owner Westfield America Trust, Australia and New Zealand property owner Westfield Trust and U.K. owner Westfield Holdings combined. The new entity owns 126 shopping centers in the four countries.

“This is a benchmark deal for Westfield which, following the recent success in the US bond market, demonstrates the benefits of the recent merger in enabling increased access to the international debt capital markets,” says Peter Allen, Westfield Group’s CFO, in a statement. The company’s shares closed at A$16.50, up $0.18 on the Australian Stock Exchange yesterday at the end of trading.