CBRE Group prices $1.1 billion in senior notes for 2030, 2035

Published 29/04/2025, 13:06
CBRE Group prices $1.1 billion in senior notes for 2030, 2035

DALLAS - CBRE Group, Inc. (NYSE:CBRE), with a market capitalization of $35.64 billion and operating with a moderate debt level, has announced the pricing of a $1.1 billion debt offering, consisting of $600 million 4.800% Senior Notes due 2030 and $500 million 5.500% Senior Notes due 2035. The 2030 Notes are priced at 99.065% of face value, while the 2035 Notes are at 99.549%. The settlement is expected on May 12, 2025, contingent on standard closing conditions.

The net proceeds from the sale, estimated at approximately $1,082.9 million after underwriting discounts and offering expenses, are intended for the redemption of the company’s 4.875% senior notes due in 2026, repayment of commercial paper program borrowings, and other general corporate purposes.

The offering is managed by Wells Fargo Securities, LLC, BofA Securities, Inc., J.P. Morgan Securities LLC, and NatWest Markets Securities Inc. as joint book-running managers. The notes are being offered through a prospectus supplement and base prospectus available on the SEC’s EDGAR system or directly from the managing firms.

This press release does not constitute a sale offer or a solicitation to buy in any jurisdiction where such actions would be unlawful before registration or qualification under the securities laws of that jurisdiction.

CBRE Group, a Fortune 500 and S&P 500 entity based in Dallas, is recognized as the world’s largest commercial real estate services and investment firm based on 2024 revenue.

The press release contains forward-looking statements regarding the notes offering and anticipated use of proceeds, which are subject to known and unknown risks and uncertainties that could cause actual results to differ. These statements are based on current expectations, and CBRE Group, Inc. disclaims any obligation to update them. Further information regarding these risks can be found in the company’s SEC filings. For a comprehensive analysis of CBRE’s financial position and future prospects, investors can access the detailed Pro Research Report available exclusively on InvestingPro, which provides in-depth insights and expert analysis of the company’s performance metrics.

This news article is based on a press release statement.

In other recent news, CBRE Group reported strong financial results for the first quarter of 2025, with earnings per share (EPS) of $0.86, surpassing the consensus estimate of $0.82. The company’s revenue also exceeded expectations, reaching $8.91 billion compared to the forecasted $8.73 billion. Analysts from Evercore ISI responded positively to these results, raising their price target for CBRE’s stock to $143.00 while maintaining an Outperform rating. William Blair also reaffirmed its Outperform rating on CBRE, noting the company’s shares are trading at 19 times the firm’s 2025 core EPS estimate.

CBRE’s diversified business model and strategic acquisitions were highlighted as key factors in its robust performance, with core EBITDA increasing by 27% year-on-year. The firm maintains its core EPS guidance for 2025 between $5.80 and $6.10, despite potential market uncertainties. Analysts at William Blair expressed confidence in CBRE’s potential for multiyear growth, citing its position as a leading global player and its strategy of diversifying across services, property types, and geographies. Evercore ISI emphasized the company’s strong balance sheet and the resilience of its business lines, describing CBRE’s financial stability as a "fortress."

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