Raven Russia said on Tuesday that it would raise up to £125m of new equity and purchase Raven Mount, another AIM-listed property company, which shares some of the same directors.
Anton Bilton’s Russian warehouse developer said it intended to raise up to £125m through a placing of up to 125m preference shares and warrants at £1 each. Invesco has already agreed to subscribe to 75m new shares. The preference shares can be converted to ordinary shares at 25p.
Raven said it would be using the proceeds to strengthen its balance sheet, provide working capital and roll out its development pipeline.
They will also be used to complete a £57m takeover of Raven Mount, the UK property group run by Anton Bilton and Glyn Hirsch, who are also directors of Raven Russia.
Raven Mount has essentially been reduced to a cash shell, with £21m of cash on its balance sheet, which Raven Russia will be able to utilise following the takeover.
