CIVITAS SOCIAL HOUSING PLC
(“Civitas” or the “Company“)
Civitas Social Housing PLC (“Civitas” or the “Company”) is pleased to announce that as a result of investor interest its IPO has been oversubscribed with demand exceeding the maximum gross proceeds of £350 million. Accordingly, a scaling back exercise has been undertaken with respect to applications received. The Board has resolved to accept gross proceeds under the IPO of £350 million.
o Civitas is the first REIT to be listed on the London Stock Exchange offering pure play exposure to built social housing.
o The net IPO proceeds will be used to acquire built Social Homes in England and Wales.
o The Company’s objective is to provide shareholders with an attractive level of income underpinned by long term leases and occupancy agreements of typically 10 to 40 years, together with the potential for capital growth.
o Civitas targets a dividend yield of 5%* which is expected to increase in line with inflation.
Applications have been made in respect of 350 million ordinary shares to be admitted to trading on the London Stock Exchange’s Main Market for listed securities and to listing on the Premium Listing segment of the Official List of the UK Listing Authority(“Admission”). It is expected that Admission will become effective and dealings in the new ordinary shares will commence at 8.00 a.m. (London time) on 18 November.
Cenkos Securities plc is acting as sole sponsor and financial adviser.
* This is a target only and not a profit forecast. There can be no assurance that the target can or will be met and should not be taken as an indication of the Company’s expected or actual future results. Accordingly, potential investors should not place any reliance on this target in deciding whether or not to invest in the Company or assume that the Company will make any distributions at all and should decide for themselves whether or not the target dividend yield is reasonable or achievable.
Michael Wrobel, Chairman of the Company said:
“We are delighted with the investor support we have received and we look forward to working with our shareholders in the future.”
Paul Bridge, CEO of CHA said:
“Civitas looks forward to working in partnership with social housing providers to enable significant new investments into the sector”Download PDF