Debt-focused infrastructure investment firm Gravis Capital Partners (GCP) has announced its intention to raise additional capital via the placing of C shares.
The London-listed company is targeting an initial fundraising of £75 million (€91 million; $123 million), up to a maximum of £100 million. It intends to issue 100 million C shares worth £0.01 each.
The proceeds will be used to fund the growth of the company through further acquisitions, as GCP continues to pursue the “significant opportunities [offered by] the infrastructure debt market,” it said in a statement. Current shareholders will be granted pre-emptive rights with regards to buying the shares, with £50 million allocated pro-rata to their existing holdings.
GCP said this initial capital raise could be followed by the creation of a placing programme of up to £100 million of ordinary shares, with further details on a prospective issue to be provided around 12 February 2014. Neither the issue nor the placing programme will be underwritten.
The move comes just a few weeks after GCP announced its intention to buy the shares it doesn’t already own in GCP Infrastructure Fund, an open-ended feeder vehicle which gets its investments from the firm. The purchase, which is still pending shareholder approval, is expected to become effective on 7 February 2014.
GCP is also expanding its footprint to other markets, launching an infrastructure debt vehicle focused on the Gulf region last November. The vehicle, to be managed in partnership with Dubai-based bank Exotix, has a $250 million target.