The Mirvac Group launches $750m placement

Company News

by Rachael Jones

The Mirvac Group (ASX:MGR) has launched a $750 million placement to fund strategic growth initiatives after a strong performance in Financial Year 2019.

The institutional placement is offered at $2.97 per new stapled security.

This offer price reflects a 4.2 per cent discount to to Mirvac’s closing price of $3.10 per stapled security on 28 May and a 4.5 per cent discount to the five-day volume weighted average price.

A share purchase plan is expected to raise up to another $75 million.

The new equity will be used to repay debt and secure 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.

Shares in Mirvac Group (ASX:MGR) closed-0.64 per cent lower at $3.10 yesterday. 

Rachael Jones

Finance News Network
Rachael comes to FNN after working for Fairfax Media covering international breaking news, including the global economy and politics. She joined FNN in February 2018. She has reported on Australia’s finance news for various organisations since 2000 and has also interviewed a number of key business players, including Bill Gates. Rachael has also worked across a number of countries, including the UK and the US.