LXI plans £75m placing

LXi REIT said it planned to raise £75m through a discounted share placing.

The company on Tuesday said it would place 60.1m shares at 124.50 each, a 3% discount to Monday’s closing price of 128.4p. Proceeds would be used to buy a £140m pipeline of off market investment opportunities.

“The pipeline assets … are diversified across a range of defensive and structurally supported sub-sectors, including foodstores, industrial, drive-thru coffee and garden centres,” the company said.

LXi also reported “continuing robust rent collection”, despite the Covid-19 pandemic, and reiterated its target of a 6p-a-share dividend, a 4.3% increase.

Chairman Stephen Hubbard said the properties identified were “diversified across a range of defensive and structurally supported sub-sectors and let to high-quality tenant covenants”.

“We expect these opportunities to deliver attractive returns to our shareholders going forward."