Goodman Group raising $4 billion; three brokers on ticket
Goodman Group was expected to launch a $4 billion capital raising on Wednesday, riding the crest of an impressive share price spike after it successfully shifted focus from sheds to hyperscale data centres last year.
The $70 billion logistics giant hired Morgan Stanley, JPMorgan and RBC Capital Markets to oversee the deal. Its shares last traded at $35.98 apiece, up almost 30 per cent over the past 12-months.
Goodman boss Greg Goodman earmarked the raising proceeds for development purposes.
It comes after investors have applauded the industrial property giant for its pivot towards data centres.
Steven Rodriguez, a fund manager at American Century Investments, told The Australian Financial Review in January that his investment firm held a “high conviction” about Goodman because “returns [in data centre development] are materially better than industrial, a sector where rental growth is moderating”.
The raising also comes two months after China Investment Corporation, one of Goodman’s largest shareholders, launched a monster $1.9 billion sell down and sent Citi’s equities desk into turmoil with shares priced at a skinny 1.4 per cent to 1.5 per cent discount. The fallout saw Citi take a $70 million bath on the trade.
Goodman Group shares were placed in a trading halt on Wednesday pre-open.
