Great Places returns to bond market and raises £32m
NORTH West social housing provider Great Places Housing Group has raised nearly £32m after returning to the bond market.
The 17,000-home not-for-profit organisation based on Princess Parkway, south Manchester sold some of the £50m worth of bonds it retained following a £200m debut bond issue in October 2012.
The group issued bonds worth £31.78m, and achieved a spread of 1.04% over the gilt, the price of government bonds.
The deal was jointly arranged by RBC Capital Markets, The Royal Bank of Scotland and Santander.
Great Places will use the money raised to part-fund its planned development programme of 2,200 homes between 2011 and 2017. It has received almost £50m since 2011 from the Homes and Communities Agency for this project.
Matthew Harrison, chief executive of Great Places said: “This is fantastic news and demonstrates the continuing financial strength of our business.
“It will allow us to continue to build much needed homes and I am delighted that so many institutions see Great Places as an excellent organisation in which to invest.”
Mr Harrison, chairman Tony Davison and finance director Phil Elvy met more than 20 groups of institutional investors in London and Edinburgh during a roadshow prior to the issue.
