CAPITAL RAISING
Resilient surprised by strong demand
Unprecedented interest sees bookbuild for R750m extended to R2.5bn
Resilient Reit CEO Des de Beer was overwhelmed by the unprecedented interest in an accelerated bookbuild, which was intended to raise R750m but was extended to R2.5bn. Resilient raised the capital to lower its gearing. It will also use part of the funds for a potential direct property deal in Europe. Macquarie Equities said Resilient Reit’s see-through gearing was about 32%, which De Beer said was conservative. "We like to keep our gearing at conservative levels compared with other listed property funds," he said. " I was shocked at how much interest there was in the raise. We could have actually raised more," he said. Resilient’s share price climbed 17% in the first seven months of 2017, well ahead of the FTSE-JSE SA listed property index, which gained 6.07%. About R2.5bn was raised at a price of R126 per share. Resilient’s strategy of owning a diverse range of shopping centres in SA and interests in several offshore groups has been paying off, with the company continuing to outdo ...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.