Impact Healthcare eyes £150m fundraiser
Impact Healthcare Reit
84.00p
17:15 18/04/24
Real estate investment trust Impact Healthcare told investors on Wednesday that it was in advanced negotiations to acquire a portfolio of UK care homes, leading it to propose an equity fundraising to help it add the portfolio to its books.
Equity Investment Instruments
11,533.52
17:14 18/04/24
Impact, which has already invested or committed the majority of the £240m it had raised since its IPO back in March 2017, proposed the equity fundraising in order to give it £150m to acquire the portfolio of more than 2,500 beds.
The London-listed outfit said the total annual rent on its target Portfolio was approximately £12m under the existing leases and noted that, based on the agreed acquisition price, the net initial yield for the whole portfolio was in excess of 8%.
Impact stated the core portfolio, which made up more than 80% of the target portfolio by value, had strong levels of rental cover, supported by good levels of occupancy which has ranged between 90% and 93% over the past five years.
Elsewhere, Impact said it was continuing to make good progress with a "significant pipeline" of UK assets which had met the company's investment objectives and policy, including off-market assets.
As of 1145 BST, Impact shares had dipped 0.019% to 103.98p.