ProLogis announced that it has amended its global senior credit facility, expanding the capacity to $3.4 billion, from $2.6 billion when it was first established in October 2005. The amended line of credit includes an expansion feature of up to $4.0 billion. Banc of America Securities LLC and ABN AMRO Bank N.V. were global joint lead arrangers with Sumitomo Mitsui Banking Corporation, Royal Bank of Scotland and JP Morgan Chase serving as global documentation agents.
Funds may be drawn in US dollar, euro, Japanese yen, British pound sterling, Chinese renminbi, South Korean won and Canadian dollar. Pricing for the expanded line remained the same. The maturity remained October 2009 with a 12-month extension option for all currencies except the renminbi, which matures in May 2009. The line of credit will be used to finance development of properties, land and property acquisitions and for general corporate purposes.
"We are pleased to have increased our global line of credit beyond the original expansion potential of up to $3.1 billion," said Jeffrey H. Schwartz, chief executive officer. "This increase in short-term borrowing capacity supports our accelerated development pipeline while improving access to capital and enhancing financial flexibility. We continue to see strong interest from global banks, having received commitments of approximately $1 billion for the expansion. Additionally, we now have 39 participants in our global line."