Goodman European Logistics Fund (GELF) has raised €550 mln of new equity, completing a capital raising process which received total demand of over €900 mln.
Goodman European Logistics Fund (GELF) has raised €550 mln of new equity, completing a capital raising process which received total demand of over €900 mln.
The majority of the equity was raised via a rights issue to existing investors, with additional equity raised in response to the strong demand from new investors.
Separately, to facilitate the excess demand, Goodman Group will sell down part of its holding in GELF, which will result in Goodman Group holding an investment of 20% in GELF on completion of the transaction.
'The overwhelming demand for the equity raise reflects the fund’s high quality portfolio and the attractiveness of the European logistics property market to large institutional investors,' commented CEO Greg Goodman.
The GELF equity raising follows the completion of the fund’s €500 mln inaugural Eurobond issuance in March of this year, bringing total new capital raised in the first half of 2013 to over €1 bn.
GELF currently has a warchest of over €800 mln. 'We intend to use the proceeds to further strengthen our market position and the ongoing diversification of our portfolio, with a focus on prime assets in key European logistics locations,' commented GELF's fund director Emmanuel Van der Stichele.
GELF is Goodman Group’s largest European real estate investment vehicle. The €1.9 bn pan-European fund has a portfolio of 95 assets in 11 countries.
