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First Capital Realty Inc -- Moody's places First Capital's ratings under review for downgrade

Moody's Investors Service ("Moody's") placed the Baa2 senior unsecured ratings of First Capital Realty Inc. ("First Capital") under review for downgrade. Today's action follows First Capital's announcement that it is pursuing a strategic transaction that would reduce its principal owner Gazit-Globe Ltd. (unrated, "Gazit") ownership stake via a C$742 million debt-financed share repurchase and a C$453 million bought deal secondary equity offering. According to the company's February 28th announcement, First Capital intends to fund the share repurchase with new debt financing, which will include up to $400 million 10-year mortgage debt and up to $400 million of senior unsecured term loans.