Private rented sector-focused PRS REIT plc raised gross proceeds of £250 million through the placement of 243,902,440 ordinary shares of 1 pence each priced at 102.5 pence per share.
The closing date of the placement was moved up to Feb. 19 from an initial scheduled date of March 1 due to strong support from investors during its roadshow and current market conditions.
The proceeds will be used to invest in the company's private rented sector development sites and newly completed sites to create a large scale portfolio of newly built, high-quality homes, mainly focused on families, across the regions in the UK.
Via its investment adviser, Sigma PRS Management Ltd., which is a unit of Sigma Capital Group plc, the REIT sees a potential to deliver over 10,000 new homes and has an identified pipeline of approximately 3,800 new homes, with a total gross development value of approximately £540 million.
The shares are expected to be admitted to trading on the specialist fund segment of the main market of the London Stock Exchange plc, effective Feb. 22, according to a release.
Nplus1 Singer Advisory LLP, Nplus1 Singer Capital Markets Ltd. and Stifel Nicolaus Europe Ltd. are serving as joint book runners for the placement. G10 Capital Limited is acting as alternative investment fund manager.