16th Feb 2016 17:03
LONDON (Alliance News) - UK-focused property investor Redefine International PLC on Tuesday said it has raised GBP115 million through a placing, above its original target of a minimum of GBP100.0 million as a result of strong demand.
The company said it has raised the GBP115.0 million through the placing of 270.6 million shares at a price of 42.5 pence for UK placing shares and ZAR9.75 per share for South African placing shares. This represents around 15.32% of the company's issued share capital following admission, it said.
Shares in Redefine closed up 0.8% at 42.79 pence Tuesday.
The company said it would use the funds to finance the acquisition of the second part of the AUK Portfolio, with the additional proceeds used to pay down debt in the short term.
In September, FTSE 250-listed Redefine acquired the AUK portfolio, comprising 19 properties in the UK, mostly in London and the South East, for GBP437.2 million from Aegon UK Property Fund. The second tranche of the acquisition comprises a total of nine properties, and Redefine said the combined portfolio will add GBP28.3 million in gross rental income.
The placing was conducted through an accelerated bookbuild, handled by Peel Hunt and JPMorgan Cazenove.
By Sam Unsted; [email protected]; @SamUAtAlliance
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