Redefine International plans major fundraising
Shares in Redefine International were lower on Friday as the property investor said it was going to raise funds by issuing almost 10% more new shares.
FTSE 250
19,391.30
17:09 19/04/24
FTSE 350
4,341.08
17:09 19/04/24
FTSE All-Share
4,296.41
17:08 19/04/24
RDI Reit
121.20p
16:40 30/04/21
Real Estate Investment & Services
2,135.62
17:09 19/04/24
The FTSE 250 real estate investment trust (REIT), which also said it had signed a lease with Primark, will issue up to 131.4m new shares, representing approximately 9.9% of its issued share capital.
Redfine, which owns retail, office and hotel properties, said the new funds were to support "the funding of earnings enhancing investment opportunities in the UK and Germany", as well as asset management initiatives within the existing portfolio and better enable it to secure debt at good rates.
Chief executive Mike Watters: "Against the backdrop of low interest rates and competitive debt markets, the potential returns available from the UK and German property markets remain attractive.
"This placing enables the company to be opportunistic in targeting investment opportunities whilst supporting further investment within the portfolio through disciplined asset management initiatives.
"We believe we are well positioned to take advantage of opportunities in the UK and Germany where we can apply our proven operating model to capture future upside and generate value for shareholders."
Redefine also announced it had signed a conditional 5,200-square-metre lease agreement with fashion retailer Primark for a store in the City Arcaden Shopping Centre in Ingolstadt, Germany.