Massy Holdings is set to raise up to $600 million to refinance maturing debt through a fixed-rate bond issue and a medium-term loan, both facilitated by First Citizens Bank.

In a notice to stakeholders on April 15, the diversified conglomerate announced its intention to issue a $300 million fixed-rate bond and access a separate $300 million medium-term loan.

"Both arrangements are intended to repay long-term obligations that matured earlier this year and were temporarily covered by short-term bridge financing," the notice said.

The proposed financial structure will not increase Massy's overall debt burden, as the new funds will solely replace existing liabilities.

First Citizens Bank will serve as the sole lead arranger for the bond issue and the loan. The bond will be offered privately to investors in TT and will carry a 15-year term.

The notice said interest payments will be fixed and made semi-annually, with principal repayments beginning after a five-year moratorium to be settled in equal instalments every six months thereafter.

The eight-year loan, meanwhile, will have its interest rate reset annually, with quarterly interest payments beginning three months after closing.

Massy and First Citizens have already agreed to the commercial terms, and the transaction is expected to close this month, pending all necessary regulatory approvals.

It said investors will be provided with detailed financial and corporate information to guide their decision-making before the bond placement.

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