UK healthcare property REIT, Impact Healthcare, has unveiled plans to raise around £50 mln (€59 mln) through the placing of new ordinary shares.
The price of the issue will be 111.5 pence per share, which represents a discount of 2.5% to the closing price per share of 114.4 pence on 1 April, the last business day prior to the announcement.
The issue price represents a premium of 1.8% to the net asset value per share of 109.58 pence as at 31 December. The firm said that proceeds from the issue would be used to repay debt and to fund new investments.
The investment manager has identified a near-term pipeline of some £200 mln in potential investments, comprising 52 care homes, and a longer term pipeline worth in excess of £150 mln.
Rupert Barclay, chairman of Impact Healthcare commented: 'The placing will enable the company to capitalise on its pipeline of attractive, near-term opportunities, which are expected to deliver further value for our shareholders at the same time as maintaining a strong balance sheet.
'The board is pleased that substantially all of our care homes' residents have received the first dose of a Covid-19 vaccination, and residents at 80% of the group’s care homes had been offered their second dose.
'On average our tenants sustained their underlying financial performance during 2020 and are hopeful that their occupancy will start to recover during 2021.
'We achieved 100% rent collection for 2020, which has continued through Q1 2021, underlining the critical nature of the company’s assets and the high-quality care that our tenants continue to provide for their residents during these challenging times.'
Since its IPO in March 2017, the company has built a diversified portfolio of 109 healthcare properties across the UK, of which 107 are care homes let to 11 tenants on fixed-term leases of 20 to 25 years. In addition, the group owns two healthcare facilities leased to the NHS. In total, the group today has 12 tenants across its portfolio.
