Hili Properties plc has raised over €27 million in its Initial Public Offering (IPO), with 100,892,700 of the 185,185,185 shares on offer being subscribed.
First announced in October, the new stock issue represents 25.17 per cent of the total issued share capital, according to a statement posted to the Malta Stock Exchange.
After an extension to the offer period, the IPO closed on 3rd December, with the company expected to be accepted to the Official List of the Malta Stock Exchange on 21st December. Trading will commence the day after.
Calamatta Cuschieri Investment Services Ltd, which sponsored Hili Properties’ new share offer, holds 27,676,200 of these in its own name or for the benefit of its clients. These represent 6.9 per cent of the total issued share capital of the company, carrying voting rights.
At a nominal price of €0.20 and an offer price of €0.27, the money raised amounts to around €27.25 million.
Hili Ventures Ltd retains 299,999,990 ordinary shares, or 74.83 per cent of the total.
APM Holdings Ltd and La Toc Limited each hold five shares, bringing the total issued capital of Hili Properties plc to 400,892,700.
Hili Properties plc thanked the authorised financial intermediaries, the staff of Hili Ventures, and the investing public for the support shown towards its share offer.
Hili Properties owns and manages strategic commercial real estate for lease in the Baltics (Estonia, Latvia and Lithuania), as well as Malta and Romania, with a total value of more than €115 million.
Its portfolio consists of dedicated business blocks and office space, grocery-anchored shopping centres, healthcare facilities, and properties housing McDonald’s restaurants in key commercial districts.
The group made €5.2 million in registered profits before tax during 2020 and had a portfolio size of €115.6 million as of the end of August 2021.
Altogether, it has 75,466 metres squared of rentable area, with an average occupancy of 99 per cent and a lease term of 8.8 years.
Regarding its dividend policy, the company is expected to generate a strong cash flow over the forthcoming years, with long-term lease contracts in place, allowing it to adopt a generous dividend distribution policy, set to distribute a four per cent net dividend based on the offering price of €0.27.