Hammerson’s share price plummeted by 15.3% today, after disclosing plans to raise around £825m through a rights issue and sale of its stake in designer outlets.
The REIT is under pressure after launching a £552m rights issue with shares issued at a 94.6% discount to yesterday’s closing price. The £274m price tag on its proposal to sell its stake in VIA Outlets meanwhile represented an 18.7% discount to June gross asset value. The landlord ended the day at 47.4p.
Its net rental income fell 44% during the first six months of the year, while NAV per share was down 21%.
There were also a number of big drops for REITs and housebuilders across the FTSE 100.
Landsec was down 4.95% to 579.8p, Taylor Wimpey dropped 4.32% to 118.35p, and Barratt fell 3.88% to 500p.
Mike Ashley’s Frasers was one of the few risers, following yesterday’s news of expansion to open its first regional store since the Covid-19 outbreak.
The retailer has committed to a 15-year lease for a 90,000 sq ft “sports and lifestyle destination” at the Crown Estate’s Fosse Park.
The FTSE 100 ended the day down 1.27% to 6,026.94, and the FTSE 250 finished with a 0.9% drop to 17,479.38.
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