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(Sharecast News) - Supermarket Income REIT announced plans to raise about 100m through a share issue on Wednesday, to fund the acquisition of a 216m pipeline of nine grocery assets, including three supermarkets due to complete in September and a further six UK grocery properties expected to complete over the following three months.
The FTSE 250 company said the acquisitions would be earnings accretive from the first full financial year, support its ambition to double the size of its portfolio and would be funded through the equity raise alongside prudent use of leverage.
Separately, the company launched a retail offer via RetailBook alongside the institutional and South African placings, allowing eligible UK retail investors to participate in the fundraising with a minimum investment of 250.
Chief executive Rob Abraham said the proposed acquisitions would be earnings-enhancing, align with the group's strategy of owning well-located grocery assets let on resilient triple-net leases and represent the latest step towards doubling the size of the portfolio.
At 0926 BST, Supermarket Income REIT shares were down 1.97% at 87.15p.
Reporting by Josh White for Sharecast.com.
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