Griffin Global Asset Management (Griffin) has successfully closed an offering of $1bn senior unsecured notes via subsidiary, GGAM Finance.
The offering comprises $400 million of 7.75% senior unsecured notes due 2026 and $600 million of 8.00% senior unsecured notes due 2028. The notes will be guaranteed by Griffin Global Asset Management and certain of its subsidiaries.
Proceeds from notes will be used to partially repay the existing warehouse facility and for general corporate purposes. Griffin commented that reducing the amount of secured debt was consistent with its commitment to achieving investment grade metrics.
On successful completion of the Offering, Fitch Ratings and S&P Global Ratings announced their intention to rate Griffin Global Asset Management’s issuer and senior unsecured debt ratings to BB and BB-, respectively.
“We are proud to announce the closing of Griffin’s first unsecured bond issuance, which is an important step in building an investment grade company. The support Griffin has enjoyed from our banking partners is now complemented by the investors in these notes, both of which we view as key long-term relationships,” said John Beekman, chief financial officer of Griffin.