Real estate funds manager Folkestone Limited's (ASX: FLK) shares added 16.7% on Tuesday to close the trading day at $0.21, on strong volume of 1.9 million shares.
The company's value has now more than doubled from a year ago.
Earlier this week Folkestone completed the institutional component of its $25 million capital raising program.
The funds will be used to provide it with exposure to the Sydney residential development market and accelerate the growth of its funds management platform.
Proceeds will be used to establish and underwrite the $18 million West Ryde Development Fund that will in joint venture with Toga, develop a 205 apartment and mixed use development in West Ryde, Sydney.
Funds will also be invested in the Australian Education Trust (ASX: AEU), the largest of its managed funds, and provide additional working capital to accelerate the growth of its funds management platform and its pipeline of on‐balance sheet development activities.
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