- Ingenia has finished the first part of a major capital raising plan in just one day
- Over five million new shares were taken up at $3.93 each by local and international investors to raise roughly $21 million
- Another $110 million will be raised through a two-for-17 entitlement offer
- The funds will be used to help Ingenia buy six major properties across Queensland and New South Wales
- Ingenia shares came out bounding from a trading halt today and closed 3.7 per cent up from Tuesday afternoon, currently worth $4.20 each
Ingenia has completed the first part of its $131 million capital raising with investors snatching up 5.4 million shares in just one day.
The shares were placed at $3.93 each to raise $21.3 million of the total. According to Ingenia, there was strong demand for the new shares from both domestic and offshore international investors.
The remaining $109.8 million is set to be raised through a two-for-17 entitlement offer to eligible shareholders.
Most of the cash will be used to buy six major community property assets announced by Ingenia yesterday. The total price of the purchases comes to $102.7 million, and Ingenia said the rest of the funds will be used to support some pipeline opportunities and developments currently underway.
Ingenia CEO Simon said the “overwhelming” demand for the placement was pleasing for the company.
“As a result of the strong demand from a broad range of investors, we have continued to grow the Group’s investor base, while ensuring our existing investors have the ability to participate in Ingenia’s growth,” Simon said.
Once Ingenia completes the big buys, it will have added 540 income-producing sites and 640 development sites to its portfolio.
The properties which the company plans to purchase include a Brisbane metro community with 150 existing sites, a NSW community with roughly 190 homes, and a South East QLD community with roughly 200 homes.
Ingenia shares came out bounding from a trading halt today and closed 3.7 per cent up from Tuesday afternoon. The company’s share price currently sits at $4.20 per share in a market cap just shy of $1 billion.