Market wrap: intu shares plunge on equity call update
Shares in shopping centre owner intu Properties plummeted by almost a third on Tuesday, after the company announced that Hong Kong’s Link REIT would not back its expected £1bn equity raising.
The fall more than wiped out gains made over the course of Monday, when shares rose after the FTSE All-Share company confirmed in a Sunday Times report that Link was interested in backing an equity raise.
Intu said in a stock exchange statement that it “remains engaged with shareholders and potential new investors in relation to a proposed equity raise”.
Shares in shopping centre owner intu Properties plummeted by almost a third on Tuesday, after the company announced that Hong Kong’s Link REIT would not back its expected £1bn equity raising.
The fall more than wiped out gains made over the course of Monday, when shares rose after the FTSE All-Share company confirmed in a Sunday Times report that Link was interested in backing an equity raise.
Intu said in a stock exchange statement that it “remains engaged with shareholders and potential new investors in relation to a proposed equity raise”.
A spokesperson for Link said: “Link remains interested in opportunities in the UK, but our negotiations with intu have not reached an agreement.”
Intu’s shares closed down 30% at 12.12p. The company’s market capitalisation is now £234.6m.
Palace Capital was also among the sharpest fallers, its shares down more than 4%.
Construction group Kier was one of the day’s highest risers, with its shares closing up almost 7% at 112.5p. The company’s projects include the HS2 train line, which the government today confirmed would go ahead.
The FTSE 100 closed up roughly 53 points at 7,499. The FTSE 250 also rose, closing up 152 points at 21,646. The FTSE All Share gained 28 at 4,170.
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