3rd Mar 2021 11:02
(Alliance News) - Sequoia Economic Infrastructure Income Fund Ltd on Wednesday said it has raised GBP110 million in a share placing in order to repay outstanding debt and pursue new investment opportunities.
In February, the FTSE 250-listed investor in economic infrastructure debt announced the placing for a maximum of 164.3 million shares at a price of 105.25 pence per share, which represented a 4.0% premium to its unaudited net asset value of 101.23p per share as at January 29.
Shares in Sequoia Economic were down 0.5% at 105.33p in London on Wednesday.
Sequoia Economic said due to the placing results on Wednesday, it will issue 104.5 million shares at the placing price.
Proceeds will be used to repay drawings under the investor's debt facilities, allowing its investment adviser Sequoia Investment Management Co Ltd to re-draw on these facilities to deploy into the company's pipeline of opportunities. These include potential investments in data centres, electricity generation and supply and renewable energy.
Sequoia Economic said in February it had cash of GBP64.9 million and outstanding drawings on its revolving credit facility of GBP208.7 million, with undrawn commitments valued at GBP114.6 million.
"We are delighted with the support from our shareholders, particularly given the significant turbulence across global fixed income markets over the last week," said Sequoia Economic Chair Robert Jennings.
By Zoe Wickens; [email protected]
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