BABCOCK & Brown Communities Group said the review by investment bank Babcock & Brown does not have an effect on the debt position of group.
BBC’s chief executive John Martin said the group does not have cross shareholding or loans with Babcock & Brown or any of its funds.
BBC currently has a $600 million debt facility with a weighted average maturity date of 3.13 years and there are no refinancing requirements until December 2010.
In addition, BBC has a gearing of 38%.
“In the current general market uncertainty, it is important to note that BBC has a secure, non-recourse debt profile with a weighted average debt term of over three years.
“BBC has continually met its banking covenants and has no conditions relating to the financial position of Babcock & Brown,” Martin concluded.
BBC will provide an update on its performance and distribution guidance on June 19, 2008.
BBC’s share price closed 1 cent higher last Friday June 13 at 40.5 cents.
Australian Property Journal
