GCP Infrastructure Investments (GCP) today announced that it has raised £20 million (€25 million; $33 million) via the placing of 17.86 million shares.
The issue, equivalent to 4.1 percent of share capital, was “significantly oversubscribed”, the London-listed company said in a statement. The issue price was at an 8 percent premium to the net asset value (NAV) at 29 August of 103.71p and a 2 percent discount to yesterday’s close.
The offer is the first from the placing programme the firm announced in January, whereby it can issue up to 100 million ordinary shares until 11 February 2015. Its proceeds are earmarked for “attractive immediate investment opportunities”, GCP said.
It comes after GCP raised £80 million last March via the issue of C shares, which converted into ordinary shares last month and increased net assets to £440 million. The company’s shares currently trade at 113.75p, representing a 0.44 percent fall from last night’s close and a 9.7 percent premium to the 29 August NAV.
Listed in 2010 on the London Stock Exchange, GCP Infrastructure Investments is primarily focused on UK infrastructure debt. At 29 August, its portfolio was – by value – 39 percent made up of loans to PFI projects, 24 percent to rooftop solar installations, 13 percent to anaerobic digesters, 10 percent to onshore wind turbines, 7 percent to biomass projects, 4 percent to commercial solar parks, 2 percent to hydro-electric schemes and 1 percent to a school lease.
The weighted average expected life of the loans was 14 years with a weighted average annual yield of 9.6 percent.