Housebuilder Redrow is seeking shareholder backing for a £100m rights issue to allow it to compete with rivals and snap up cheap land.
According to The Mail on Sunday, sources said property tycoon Steve Morgan, Redrow’s founder and largest shareholder, was backing the move and had appointed HSBC to advise his investment company, Bridgemere Securities.
Investment bank JP Morgan Cazenove has been appointed to underwrite the issue if it is successful.
Hedge fund Toscafund, run by Martin Hughes, is in favour of the move, according to sources. It owns 20% of Redrow.
The Mail on Sunday 23/08/09 page 54
