FINANCE: Kames Capital has secured a five-year extension for its £77m Target Healthcare Fund after gaining the approval of investors.
The fund plans to raise an additional £50m to £110m in the next two to three years following the extension, according to a source close to Kames.
The investment manager is also understood to have received another £25m for the fund from a UK institution.
The closed-ended, five-year fund launched in 2010 and was due to expire in February 2015.
The fund’s 13-strong portfolio returned 10.3% in the 12 months to September 2014, exceeding its target of 6%.
The fund invests in care homes in the UK regions, with 56% in Yorkshire and the Humber, and the remainder in the North West, the Midlands and Scotland.
Gearing stands at 34.6%. Kames Capital is the fund manager. Target Advisers is the investment manager.
