Transurban in EU notes issue

Group will use proceeds from €500m issue to repay existing short-term debt.

Transurban Group (TCL) will move forward with a €500 million issue, with proceeds set to go toward repaying existing short term debt and meeting forthcoming debt maturities.

In a statement to the Australian Securities Exchange, Transurban said the notes would be issued under its Euro Medium Term Note Programme and will mature in October 2020.

Transurban said €225 million of the proceeds will be swapped into US dollars at an all-in fixed rate of 3.5 per cent, while the remainder will be swapped into Australian dollars at an all-in fixed rate of 5.8%.

Transurban chief financial officer Samantha Hogg said the group's inaugural issuance into the Euro market further demonstrated Transurban’s ability to access a range of debt markets.

"The issue provides further diversification of Transurban’s funding sources, increases the average life of our senior facilities and secures funding at competitive long-term pricing," she said.

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