19th Jun 2015 15:23
LONDON (Alliance News) - NewRiver Retail Ltd late Friday confirmed it placed 50 million new shares to raise GBP150 million at a price of 300 pence per share in order to fund acquisitions and finance its transaction and development pipeline, and said it plans to move to the main market of the London Stock Exchange.
Shares in the company were trading down 2.1% at 308.00 pence near the close Friday.
The placing, announced Friday morning, was conducted via an accelerated bookbuild, run by Liberum Capital Ltd and Peel Hunt LLP.
NewRiver will use the proceeds to buy up the 50% stake it does not already own in the NewRiver Retail Property Unit Trust No.4, and the 50% stake it does not already own in the NewRiver Retail Property Unit Trust No 3. It will pay GBP52 million for these two acquisitions.
NewRiver said it is also pursuing a pipeline of other potential acquisitions and development opportunities, in particular a portfolio of 13 retail park assets for around GBP70 million.
Following the placing the company expects to have a market capitalisation of over GBP500 million, and as such it plans to move on to the main market of the London Stock Exchange from its current listing on AIM.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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