SCA Property Group will tap the market for $260 million to help fund the $573 million acquisition of 10 shopping centres from Vicinity.
It says the acquisition will make it the largest convenience-based retail specialist in Australia, with more than $3.1 billion centres under management.
“This acquisition represents a material and important strategic acquisition for SCP and is consistent with our disciplined approach to growth,” chief executive Anthony Mellowes said.
“The portfolio is being acquired on attractive terms and is expected to provide management with the ability to add value over the short, medium and long term,”
Citi is working on the raise, with shares sold at a floor price of $2.29.
The raise is a 3.5 per cent discount to its last close.
Goldman Sachs well placed with Real Pet Food sale imminent
Investment bankers have recently entered a beauty parade in the hope of landing the job of selling the pet food company.
KKR weighing up $8bn office landlord Dexus
Blackstone made another bid for the real estate and infrastructure group last year, and now its major private equity rival is said to have been looking.