2nd Feb 2021 09:04
(Alliance News) - Raven Property Group Ltd announced on Tuesday it had completed a share placing as part of the proposed deal that will see Invesco Asset Management Ltd sell its entire stake in the property investment company.
These 46.8 million existing ordinary shares were priced at 21.6 pence each. As part of this plan, the placing of 31 million existing preference shares has been completed at 90.8p apiece.
One of the aims of this proposed transaction is to provide for a structure that allows Invesco - which held 156.6 million ordinary shares and 63.5 million preference shares - to sell its entire shareholding in the Raven.
Last Tuesday, as part of this proposed deal, Raven said 100.0 million ordinary shares and 32.5 million preference shares will be acquired by a newly formed joint venture vehicle, comprising of the company and the company's executive directors and certain senior executives - who were unnamed.
The joint venture, called referred to as RH, will be established as a 50:50 joint venture capitalised through the transfer to RH of up to 53.0 million ordinary shares in the Raven by the executive management and an equal value of cash by the Raven.
Raven, which is listed in Johannesburg and London and specialises in commercial property in Russia, will buy back 9.8 million ordinary shares and cancelled them.
In a statement on Tuesday, Raven said that upon completion of the placing and the purchase of the Invesco shares being acquired by the company and the newly formed joint venture vehicle between the company and executive management, Invesco will no longer hold any ordinary shares or preferences shares in the company.
Raven investors including Quilter PLC's investment platform Quilter Investors Ltd, London-based Schroders Investment Management Ltd and Galloway Ltd agreed to take part in the placing.
The proposed transaction is subject to ordinary shareholder approval at an extraordinary general meeting and preference shareholder class meeting.
Settlement of the placing shares is expected to occur shortly after the requisite shareholder approvals have been received at such meetings.
Shares in Raven remained flat at ZAR9.50 on Tuesday mid-morning in Johannesburg. Its London shares were up 3.8% at 27.50 pence.
By Artwell Dlamini; [email protected]
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