Mirvac has launched a $750 million placement to fund strategic growth initiatives.
Mirvac announced that it would undertake an equity raising comprising of a fully underwritten institutional placement to raise $750 million ; and a non-underwritten security purchase plan to raise up to $75 million.
”The Equity Raising is being undertaken to support the delivery of the next generation of value accretive office, industrial, residential and mixed-use projects, repay debt and replenish funding for its existing development pipeline,” said in statement.
Mirvac’s CEO & Managing Director, Susan Lloyd-Hurwitz said, “We are pleased to announce that we are expecting to deliver at the top end of our FY19 EPS guidance range and we believe now is the time to undertake an equity raising to position Mirvac for future growth.
“Mirvac continues to deliver on its $3.1 billion active and committed development pipeline that is fully funded. This new equity will be used to repay debt and provide certainty of funding to activate our future, secured commercial development pipeline that has an estimated end value of over $4 billion. It will also provide capacity for a number of identified acquisition opportunities currently under due diligence with an estimated end value of over $2 billion.
“These identified acquisition opportunities are all aligned with our urban strategy and asset creation capabilities. They are targeted to deliver in excess of Mirvac’s cost of capital, creating value over the medium-term.
“Mirvac continues to be in a strong position to deliver long-term value and grow distributions for securityholders, leveraging its award-winning asset creation capability.”
For more visit : https://groupir.mirvac.com/page/ASX_Announcements/