logo-loader
viewSupermarket Income Reit PLC

Supermarket Income REIT increases equity raise up to £100mln amid strong investor support

In September the REIT set out to raise £50mln and the deadline for commitments is 1:00pm today.

Supermarket Income Reit PLC - Supermarket Income REIT increases equity raise to £100mln amid strong investor support

Supermarket Income Reit PLC (LON:SUPR) has expanded its planned fundraising to £100mln amid strong support during a marketing roadshow.

The supermarket owner said that the near-term investment pipeline was a factor in the decision as well.

Last month, it set out to raise £50mln to provide backing for a debt-supported acquisition of sites occupied by J Sainsbury PLC (LON:SBRY), worth £140mln.

READ: Supermarket Income REIT to issue equity to fund acquisitions

The schedule puts the deadline for investor commitments at 1:00pm today and it is expected that the results of the funding round will be announced tomorrow.

Whilst the target size of the issue has been increased, it was noted in the statement that the issue is not underwritten and it may be scaled back for any reason – for example, to ensure the proceeds align with the company's post fundraise acquisitions and leverage targets.

Chairman Nick Hewson, when launching the equity raise last month, said: “We have made significant progress since our IPO in July 2017, growing our portfolio to more than £420mln and delivering total shareholder returns of 16.1%, “said chairman Nick Hewson.

"We rapidly deployed the £45mln we raised in our oversubscribed placing in March and the investment adviser has now identified three further near-term acquisition opportunities in respect of which new funds could be deployed.

“These assets all meet with our strict investment criteria and, once purchased, will enhance our portfolio by increasing portfolio net initial yield and providing further geographic diversification."

Quick facts: Supermarket Income Reit PLC

Price: 107.5 GBX

LSE:SUPR
Market: LSE
Market Cap: £363.21 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of Supermarket Income Reit PLC named herein, including the promotion by the Company of Supermarket Income Reit PLC in any Content on the Site, the...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

Supermarket Income REIT expands fundraise and portfolio with new Sainsbury’s...

Steve Windsor and Steven Noble from Atrato Capital, Supermarket Income Reit PLC's (LON:SUPR) investment adviser, speak to Proactive London's Andrew Scott following the acquisition of its third property where Sainsbury’s is the tenant. The trust has bought the supermarket chain’s store in...

on 18/10/19

RNS

Agreed rent reviews

3 days, 22 hours ago

Result of AGM

1 month, 1 day ago

Holding(s) in Company

on 22/10/19

Notice of AGM

on 8/10/19

2 min read