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Primary Health Properties Successfully Raises GBP100 Million

(Alliance News) - Primary Health Properties PLC said Tuesday it has completed its placing and ...

Alliance News 24 September, 2019 | 4:38PM
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(Alliance News) - Primary Health Properties PLC said Tuesday it has completed its placing and raised the target amount of approximately GBP100 million.

Shares in Primary Health were down 4.9% at 132.94 pence in London shortly before close.

In total, 78.1 million new shares have been placed at a price of 128.00p each. The placing shares represent around 6.9% of the primary health facilities investor's issued share capital before the placing.

Managing Director Harry Hyman said: "The board is delighted to have received the support of shareholders for this fundraising. The capital raised will be used to fund the development and acquisition of properties currently on-site under development, or which the board has agreed in principle to forward fund.

"The placing will also strengthen the company's balance sheet and reduce gearing in the near term. The company has a strong pipeline of opportunities that it is pursuing that together with the improved terms we recently secured in the debt markets and a proportionately reducing cost base will enhance earnings and enable dividend cover to be maintained."

In connection with the placing, Hyman purchased 39,062 shares in the company for a total of GBP49,999. Peter Cole, a non-executive director, paid GBP32,000 for 25,000 shares.

Stephen Kell purchased 7,812 shares for GBP9,999 and Ian Krieger paid GBP25,600 for 20,000 shares. Both men are also non-executive directors at Primay Health.

Finance Director Richard Howell bought 15,000 shares for GBP19,200 and Sian Owen, wife of Primary Health Chair Steven Owen, bought 7,812 shares for GBP9,999.

Primary Health Properties announced its plan to raise funds through a bookbuild to raise GBP75 million, with the ability to upscale the offer to GBP100 million, earlier on Tuesday,

The bookbuild was run by Numis Securities Ltd and Peel Hunt LLP. Primary Health said it would use the proceeds raised to fund the "rise in the number of opportunities" for new developments in both Ireland the UK over the last year.

By Ahren Lester; ahrenlester@alliancenews.com and Anna Farley; annafarley@alliancenews.com.

Copyright 2019 Alliance News Limited. All Rights Reserved.

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Securities Mentioned in Article

Security Name Price Change (%) Morningstar
Rating
Primary Health Properties PLC 141.63 GBX -0.12 -

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Alliance News

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