Taylor Wimpey, one of the UK’s big housebuilders, this morning announced the results of its share sale: it raised £522m (more than expected) after selling 355m new shares at 145p to institutional and other investors, including employees, as it looks to acquire more land at lower prices.
Michael Hewson, chief market analyst at CMC Markets UK, says: Yesterday’s announcement that the company was looking to raise extra funds caught a lot of people by surprise, however management seem keen to avail themselves of a recent fall in land prices, in expectation of a pickup in the housing market a few years down the line.
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