Parkway Life REIT Prices S\$70 Million Series 009 Green Notes – Key Details for Investors

Key Highlights of the Announcement

• Issuer: Parkway Life MTN Pte. Ltd., wholly owned by HSBC Institutional Trust Services (Singapore) Limited (the Parkway Life REIT Trustee), acting for Parkway Life Real Estate Investment Trust (Parkway Life REIT).
• Issue Size: S\$70,000,000.
• Instrument: 2.103% senior unsecured green notes due 2031 (Series 009 Notes).
• Part of: Parkway Life REIT’s S\$500 million Multicurrency Debt Issuance Programme.
• Lead Manager & Bookrunner: United Overseas Bank Limited.
• Issue Price: 100% of the principal amount.
• Denominations: S\$250,000 each.
• Interest Payment: Fixed interest rate of 2.103%, payable semi-annually in arrear.
• Ranking: Direct, unconditional, unsubordinated, and unsecured obligations ranking pari passu with other unsecured obligations (excluding subordinated obligations and priorities created by law).
• Expected Issue Date: 27 February 2026.
• Maturity Date: 27 February 2031 (unless redeemed or cancelled earlier as per terms).
• Use of Proceeds: To refinance an existing loan used to fund an eligible green project in line with Parkway Life REIT’s sustainable financing framework dated 10 February 2026.

Details That May Impact Shareholders and Share Price

• Green Financing Initiative: The issuance of green notes reinforces Parkway Life REIT’s commitment to sustainability. The refinancing of debt with green bonds may improve the REIT’s ESG (Environmental, Social, and Governance) profile, potentially attracting ESG-focused investors and supporting long-term demand for its units.
• Interest Rate Environment: The fixed coupon rate of 2.103% is attractive in the current interest rate landscape, potentially lowering Parkway Life REIT’s overall cost of debt. This could lead to improved distributable income, a factor that may positively affect unit prices.
• Strengthened Balance Sheet: By refinancing existing loans with longer-term debt maturing in 2031, Parkway Life REIT is taking steps to lengthen its debt maturity profile and secure funding at predictable costs, reducing refinancing risks.
• Listing and Liquidity: Application will be made for the listing and quotation of the Series 009 Notes on the Singapore Exchange Securities Trading Limited (SGX-ST), ensuring transparency and potentially increasing market confidence.
• No Director or Major Unitholder Interest: The Manager has stated that none of its directors nor, to the best of its knowledge, the controlling unitholders of Parkway Life REIT have any direct or indirect interest in the Series 009 Notes issuance. This helps assure investors of proper governance and no potential conflicts of interest.

Important Considerations for Investors

• Nature of the Investment: The announcement emphasizes that Parkway Life REIT units are not obligations of, deposits in, or guaranteed by the Manager or its affiliates. Investors can only trade REIT units through the SGX-ST and cannot redeem units directly from the Manager.
• Market Risks: The value of the units and the income derived from them may fluctuate. Listing on SGX-ST does not guarantee a liquid market for Parkway Life REIT units.
• Forward-looking Statements: The announcement contains forward-looking statements subject to assumptions and uncertainties, such as economic conditions, interest rates, rental income levels, and government policies. Actual results may differ materially from projections.

Conclusion

The pricing and upcoming issuance of S\$70 million in 2.103% green notes due 2031 is a significant event for Parkway Life REIT. It signals financial prudence through proactive refinancing and aligns with global sustainability trends. These factors could enhance Parkway Life REIT’s investment profile and may potentially influence its share price positively, especially among investors seeking stable, sustainable income and robust debt management.

Disclaimer: This article is for informational purposes only and does not constitute an offer, solicitation, or recommendation to buy or sell any securities or investments. Investors should consult their own financial advisors and consider their individual investment objectives and risk tolerance before making investment decisions. Past performance is not indicative of future results. Actual outcomes may differ from any forward-looking statements contained herein.

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