A new real estate-focused debt vehicle has listed on the main market of the London Stock Exchange having substantially missed its target capital raise.
Hadrian’s Wall Secured Investments raised £80m – £70m less than its £150m target – as the market stuttered before the EU referendum. It had been prepared to place up to £250m of shares, which are currently trading at the initial share price on listing of £1.
Chairman of Hadrian’s Wall Secured, David Warr, said: “In an environment which has not had an IPO of a main market-listed investment company in 2016, the board is extremely pleased with the support for Hadrian’s Wall Secured Investments.”
The company will invest in secured real estate debt and is expecting 6% returns. It will invest through lenders such as Wellesley & Co, peer-to-peer lending platform Landbay Partners and online platform FundingKnight and claims to have a £500m pipeline of deals.
The company is a spin-off of Hadrian’s Wall Capital, a debt investment company run by Marc Bajer, the former chief executive of Assured Guaranty and global co-head of debt and structured capital at Commerzbank. He works alongside Ron Miao, Hadrian’s Wall Capital’s chief operating officer and a former trader at Lehman Brothers and Citigroup.
Winterflood Securities was the sponsor, financial adviser and bookrunner on the IPO.
