UK industrial warehouse investor Warehouse REIT is planning to raise up to £45.9m (€52m) by issuing new shares to help fund acquisitions.
Warehouse REIT, which is listed on London’s junior investment market AIM, plans to issue of up to 37.9m shares at 121p each to raise the capital.
The company said the amount raised, together with the group’s existing facilities, will be used to help finance the acquisition of two adjacent distribution warehouses in Harlow for £13.9m and two further assets for an aggregate consideration of £43.5m.
Warehouse REIT said it has a pipeline of further near-term acquisition opportunities which amounts to £263.3m.
Andrew Bird, managing director of Tilstone Partners, Warehouse REIT’s investment adviser, said: “We are seeing unprecedented demand for modern, fit-for-purpose warehouse space in economically relevant locations, underpinned by e-commerce growth which has accelerated as businesses of all size look to adapt and future proof their operations.
“Having committed to an investment strategy founded on this evolution back in 2013, the company has been able to amass a portfolio of scale, delivering both rental and capital growth even against the backdrop of the current pandemic, allowing for the generation of significant returns for shareholders.”
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