FIBRA Prologis Boosts Financial Flexibility with New Credit Facilities

FIBRA Prologis Expands Financial Flexibility

FIBRA Prologis, a premier owner and operator of Class-A industrial real estate in Mexico, has recently made strategic moves to enhance its financial capabilities. The company revealed the recasting of its unsecured sustainable credit facility, which includes improved terms and an increased capacity, along with a newly secured term loan that aims to strengthen its debt maturity profile.

Details of the Financial Enhancements

The recast credit facility has seen an increase from $400 million to an impressive $500 million. Moreover, it features an accordion option that may allow for expansion up to $1 billion, pending lender approval. This facility is set with an initial maturity date of May 29, 2028, and has the flexibility of two optional one-year extensions. Currently, the pricing is positioned at 125 basis points over the relevant benchmark rate, reflecting a competitive edge. Additionally, the terms include adjustments based on key performance indicators (KPI) that can fluctuate by ±2 basis points, alongside a 25-basis-point unused commitment fee, marking a 5-basis-point improvement compared to the previous facility.

Alongside the recast credit line, FIBRA Prologis has also secured a new term loan worth $300 million. This loan has an initial term of one year but can be extended for up to two years. Similar to the credit facility, it carries a spread of 125 basis points and aims to refinance a portion of the company’s existing short-term debt, thus enhancing maturity profiles.

Statements from Leadership

Jorge Girault, the Chief Financial Officer of FIBRA Prologis, expressed satisfaction with the new financing structure. He emphasized the company's commitment to prudent financial management. "We are reinforcing our balance sheet and liquidity to support long-term growth," he stated, appreciating the support from financial institutions that continue to build trust and confidence in FIBRA Prologis's future.

About FIBRA Prologis

As of March 31, 2025, FIBRA Prologis boasts a robust portfolio consisting of 507 investment properties across Mexico, totaling an impressive 87 million square feet. This comprehensive portfolio includes 345 logistics and manufacturing facilities situated in six core industrial markets, contributing significantly to their gross leasing area. The commitment to enhancing operational capacity through strategic financial decisions underscores FIBRA Prologis's vision of long-term growth and sustainability in the Mexican industrial real estate sector.

Forward-Looking Statements

It is important to note that certain statements made by FIBRA Prologis in this release can be classified as forward-looking. These anticipate expectations or projections about future developments in the company’s operations, particularly concerning financial conditions and market performance. However, such statements inherently accompany risks and uncertainties that could affect actual outcomes. As stated, actual results may markedly differ from forecasts based on various external factors including economic conditions, competitive landscape, and operational challenges.

Overall, the company's recent financial maneuvers are indicative of its proactive approach to maintaining a solid footing in the dynamic real estate market of Mexico, aiming to ensure sustained growth and resilience against potential economic shifts.