Athelney Trust has made an announcement that its directors, “have resolved to seek to increase its capital base” by issuing up to a maximum of 9.9% of the trust’s existing issued share capital, for cash, subject to market demand. The trust has recently been trading at a mild premium and its 2015 results saw it both beat the UK market and provide significant dividend growth (during 2015 Athelney’s NAV increased 10.4% whilst the UK market fell 3.8% and its dividend per share was increased by 17.9%.) Regarding the fundraising, the trust’s managing director, Robin Boyle, has said that their, “primary objectives are to reduce our total expense ratio by the same percentage as the placing, and to improve liquidity, without incurring significant issue costs”. The company says that further information is expected to be announced in due course.
Athelney Trust announces its intention to fundraise : ATY