APN Property Group has announced a $30 million capital raising that it will use to invest in the expansion of ASX-listed property trusts, and pay down its corporate debts.
The company said today it will be completing the capital raising at 37c per share, to fund its corporate growth plans.
The extra cash will be used to increase co-investment in the Generation Healthcare real estate investment trust, to assist the takeover of a $45.8m portfolio of aged care assets from RSL Care.
The group will also increase its co-investment in the Industria investment trust, repay APN's $5m debts with Macquarie Bank and will look to acquire the first seed asset of a planned new unlisted retail property fund.
"Proceeds from this capital raise will also position APN with increased financial flexibility to secure new property investment opportunities," executive director Tim Slattery said.
"We're continuing to take a measured approach to acquisitions, with significant amounts of capital continuing to flow into Australian commercial property from domestic and overseas investors."
APN also upgraded its full-year earnings guidance range by 6.7 per cent to 2.49c to 2.63c per share, up from its previous forecasts of 2.3c to 2.5c.
The group will increase its fully franked dividend by 0.25c, taking the final pay out to 1.5c per share.
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