UK infrastructure fund John Laing Environmental Assets Group (JLEN) is targeting a GBP 50m equity raise through the placing of new shares on the London Stock Exchange on Wednesday (12 September).
The listed fund has announced the new shares are priced at GBP 1.02 each, with an option to increase the size of the issue if it is oversubscribed.
This price represents a 2.4% premium on the net asset value of GBP 0.996 per share as of June 30, and a discount of 5.3% on the GBP 1.0775 closing share price as of Sep 11.
The announcement is part of a program launched by JLEN in February to issue up to 200m new shares.
The new capital will be used towards paying off the fund’s revolving credit facility, which is substantially drawn following recent acquisitions.
This includes a three anaerobic digestion plants in August, with biogas assets now representing 17% of JLEN’s total portfolio.
It is evaluating further AD facilities as well as energy from waste and biomass plants, which will further diversify its portfolio and increase the proportion of investments supported by subsidies.
The fund can opt to acquire secondary market assets from John Laing Capital Management or from third parties.
The offer for subscription is due to close on Oct 17, with placing of the new shares closing the following day.