Goodman European Logistics Fund (GELF) has launched a EUR 400 mln underwritten equity raising and agreed credit approved terms for a new EUR 800 mln debt package.
Goodman European Logistics Fund (GELF) has launched a EUR 400 mln underwritten equity raising and agreed credit approved terms for a new EUR 800 mln debt package.
As part of the rights issue, Dutch pension funds APG and PGGM have provided EUR 150 mln and EUR 50 mln of equity respectively, with Goodman underwriting a further EUR 145 mln. The rights issue, which was carried out at current unit value, is aimed at granting funding for GELF's development pipeline as well as allowing the fund to take advantage of opportunities in the market.
'These are significant capital management initiatives for the fund which will further strengthen GELF's balance sheet and ensure gearing is maintained below 40% in line with the fund’s long-term gearing target,' commented Greg Goodman, Group CEO and Chairman of the GELF Investment Committee.
Launched in December 2006, GELF is one of the largest unlisted logistics funds in Continental Europe with EUR 1.6 bn of logistics assets under management.
'We have been satisfied with GELF's performance since making our initial investment last year, and with this equity raising we believe the fund will be well positioned to benefit from opportunities currently available in the market,' added Mathieu Elshout, PGGM's senior investment manager, Private Real Estate Europe.
