Property investor Abacus Property Group
(ASX:ABP) has successfully completed a $91.4 million placement of around 228 million securities to institutional investors.
New securities were issued at 40 cents a security representing a small discount to Abacus’ last traded security price.
The company says the proceeds of the capital raising will be used to reduce debt and provide capacity for further acquisitions and working capital requirements.
The company is also offering shareholders the opportunity to acquire securities under a security purchase plan on a similar basis to the terms of this placement.
The Abacus board confirmed its previous guidance of 3 cents per security in respect of the distribution for the year ending June 2010.
Abacus Property Group posted a loss of $102.41 million for fiscal 2009.
