Housebuilder MJ Gleeson plans to raise £16.4m through a placing, to meet “pent-up demand” from the first-time buyer market once coronavirus restrictions are lifted.
It aims to sell 2.7m new shares, priced at 600p per share.
The housebuilder said once Covid-19 restrictions are lifted, low-cost homes and those sold to first-time buyers “will be the segment of the housing market that will recover the fastest”.
“To be able to meet the demand for its homes, building on current sites and opening of new sites will be concertinaed into a much shorter timescale, which will be more capital-intensive than usual,” it said.
“The company is therefore proposing to raise additional capital by way of the placing to provide additional liquidity.”
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