Listed property investment company Goodman Property Trust is looking to raise up to $175 million through a share issue for future developments.

The company has been put in a trading halt while it sells $150m of new shares to institutional investors and $15m to small shareholders. It’s given itself the discretion to accept up to $10m in over-subscriptions.

The new shares are being offered at $2.10 each, a 4 percent discount to its last traded price. The proceeds will initially be used to pay down debt giving the company headroom for future developments.

“Completing the buildout of GMT’s greenfield land and activating the value-add opportunities within the portfolio, remain the primary investment objectives. It’s a disciplined approach that we expect to underpin the growth of the business,” chief executive John Dakin said.

The company has about $215m of projects under construction.

Meanwhile, the company has revalued its property portfolio, with the total worth rising 6 percent, or $170m, to $2.8 billion.

Goodman Property specialises in warehouse, business park and other commercial developments in Auckland.

This article was originally published on RNZ and re-published with permission.

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