13th Feb 2020 16:20
(Alliance News) - Residential property landlord Grainger PLC on Thursday said it has raised GBP186.7 million through a placing of 61.2 million shares at 305.0 pence each.
Earlier today Thursday, the Newcastle-based company said it would place the shares through an accelerated bookbuild to fund new acquisitions and pursue projects currently in the planning and legal pipeline.
The placing price represents a discount of 2.3% to the closing price on Wednesday of 312.2 pence.
Following admission of the new placing shares, Grainger's share capital will comprise of 673.5 million shares.
"We are delighted with the successful outcome of this fundraise which demonstrates the strong support from our shareholders for our ongoing investment in the private rented sector. This transaction accelerates our PRS growth strategy in London and the regions, and brings forward GBP246 million of new acquisitions into the secured pipeline, bringing it to around GBP1 billion, said Grainger Chief Executive Helen Gordon.
"On completion of the new developments our rental income will grow substantially .and this will allow us to further enhance total shareholder returns," she added.
The stock was trading 0.9% higher at 314.86 pence each in London.
By Ife Taiwo; [email protected]
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