British Land buys $585 mln retail parks portfolio from Brookfield, plans equity raise
Adds background in paragraph 2, HY profit guidance in paragraph 4
Oct 2 (Reuters) -Property firm British Land Co Plc BLND.L said on Wednesday it has acquired a portfolio of seven retail parks from Brookfield Asset Management BAM.TO for 441 million pounds ($585.34 million), increasing its position in the retail park market.
The Broadgate owner has been doubling down on its investments in retail parks since 2021 as its core business of office-focused campuses still recovers from steep valuation declines in the aftermath of the Covid pandemic and the ill-timed UK mini-budget of 2022.
The company also announced a proposed equity placing to raise about 300 million pounds via an accelerated bookbuild to help fund the deal, alongside existing cash and in-place facilities.
The London-listed firm, now the UK's largest direct owner and operator of retail parks, said it expects underlying profit of 142 million-144 million pounds for the six months ending Sept. 30.
The deal and proposed placing is expected to be accretive to earnings per share in FY25 and beyond.
($1 = 0.7533 pounds)
Reporting by Aatrayee Chatterjee in Bengaluru; Editing by Krishna Chandra Eluri
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