Shopping centre giant Hammerson set to tap investors for £600m

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The Birmingham Bullring owner has received a fraction of rent due over the past six months


Shopping centre giant Hammerson set to tap investors for £600m

  • Hammerson has only received a fraction of rent due over the past six months 
  • It is currently the London Stock Exchange’s most shorted company 

Shopping centre giant Hammerson is poised to launch a cash call for up to £600million from investors in an effort to shore up its finances.

The Birmingham Bullring owner was forced to close its shopping centres after the coronavirus lockdown and many on reopening have struggled to attract shoppers back.

Hammerson has only received a fraction of rent due over the past six months in a stand-off with hard-hit retailers and restaurant owners that has left many shopping centre owners on the brink.

The Birmingham Bullring owner has received a fraction of rent due over the past six months

The Mail on Sunday first reported City speculation of a massive fundraising back in May.

At the time analysts at investment bank Liberum said Hammerson’s options to raise money through property disposals were limited.

Hammerson is currently the London Stock Exchange’s most shorted company, which means hedge funds and other investors are taking contracts betting its share price will fall further.

It closed at 64p on Friday, having risen to more than £3 at the beginning of the year – before coronavirus impacted on the economy. 

In June, rival shopping centre owner Intu collapsed into administration.

Sky News said Hammerson was this weekend preparing to ask shareholders for the money.

It said the company had appointed investment bank Lazard to advise on measures to strengthen its balance sheet. 

JP Morgan and Morgan Stanley are thought to be working on the rights issue.





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