Picton completes refinancing

Investment firm Picton Property Income said it had completed its refinancing plans after the successful issue of 22m zero dividend preference (ZDP) shares.

The 2016 ZDP shares have an issue price of 100p and a final capital entitlement of 132.31p per share.

The firm said the offering had an excellent response from existing 2012 ZDP shareholders with the issue being more than 75% covered within the range of 6.5% to 8%.

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Strong demand from new investors resulted in the issue being oversubscribed within the range of 6.5% to 8.0%.

This allowed the 2016 ZDP Shares to be priced in the middle of the range at a gross redemption yield of 7.25%, the company said.

Picton said the announcement completed its £230m refinancing process "providing a balanced and staggered debt maturity profile of 4, 10, 15 and 20 years with the ability to manage the debt position by optimising the timing of asset disposals".