Canada Life Investments and Moorgarth Property Group, the UK Asset Managers for South African listed Tradehold Ltd, have today announced a new £36m capital raise and portfolio re-financing funded by a loan from Canada Life Investments. The transaction completed prior to the recent base rate rise and secures long term financing for Moorgarth at an historic low point in the interest rate cycle.
“The properties involved are long term holds where we have seen successful asset management strategies implemented,” said Moorgarth CEO Tim Vaughan
“The new facility leaves us well placed to add to our portfolio and is flexible enough to provide funding for further capital expenditure and to swap in alternate assets in the future.”
CFO David Harrop added: “This refinancing fixes our long term interest cost at a time of economic uncertainty”.
“The transaction reflects well on the quality of our portfolio and asset management strategies whilst at the same time demonstrating our ability to deliver innovative funding solutions”
“We are delighted to be partnering with Canada Life Investments in what we hope will be the start of an important, and growing long term relationship.”
Nicholas Bent, Head of Real Estate Finance at Canada Life Investments, said: “We are delighted to provide a long term facility to an established operator with a proven track-record in the UK market such as Moorgarth, secured against good quality commercial properties with a strong income profile”.
“This transaction further strengthens Canada Life Investments existing commercial loan book, which we continue to seek opportunities to grow with the addition of experienced borrowers and strong underlying real estate”.