Honeycomb raises £100 million – Honeycomb Investment Trust [HONY] has raised £100m with a placing of up to 9,523,809 ordinary shares in the company at an issue price of £10.50 per share.
These shares will not be entitled to receive the interim dividend of 20.0 pence per ordinary share, also announced when the capital raising was announced but will be entitled to any dividends and distributions thereafter.
The net proceeds of the capital raising will be invested in line with the company’s investment policy. It aims to provide its shareholders with an attractive level of dividend income (targeting an 8% yield) and capital growth through the acquisition of interests in loans made to consumers, small businesses and other counterparties, together with related investments (“Credit Assets”), in specialist lending market segments which are under-served by mainstream lenders.
Honeycomb also seeks to enhance returns for shareholders through selected investments in companies which are aligned with its strategy, such as brokers and originators of loans to consumers and small businesses and strategic providers of data related to consumers and small and medium enterprises. Honeycomb may invests a maximum of 10% of the net proceeds of this placing (and 10% of the net proceeds of any further share issue) in these assets.
HONY : Honeycomb raises £100 million