Advero prepares €10M capital increase to accelerate growth

Advero prepares €10M capital increase to accelerate growth

The process had already been approved during the shareholders’ meeting that took place this Monday. The REIT assigned 797.142 new shares for a total amount of 6.8 million euro, at a unit price of 8.5 euros, which represents a 2.35% discount over the previous market close.

This distribution of new shares was carried out based on interests of subscription received by the company from current and new investors, and after current shareholders waived unanimously their pre-emptive rights, it can be read in the release.

The capital increase’s second round includes the issuing of 385.000 new shares, potentially excluding pre-emptive rights, and conditions to be determined by the board, thereby allowing the company to increase its current equity to around 10 million euro after the combination of both tranches.

The additional financial resources formalised this Monday and those estimated for the entirety of 2020, as well as the possibility of additional financial leverage, provide Advero with an investment capacity of 15 million euro, which will allow it to more than double its size and potentially acquire around 6 new assets, with similar characteristics to those already in Advero’s portfolio.

The REIT’s investment strategy is based on «quality assets exclusively for residential use in middle-income areas in Spain, where the company preferably holds 100% ownership of the property», it concluded.

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