LONDON Feb 14 U.S. real estate investment fund
Kennedy Wilson said it plans to raise as much as 750
million pounds ($1.25 billion)from a listing of its European
property unit, betting on a uptick in the property markets of
Ireland, Britain and Spain.
Kennedy Wilson, which manages $13.7 billion of property
assets across the U.S., Europe and Japan, said it planned to
raise the cash by placing shares with eligible institutions and
selected cornerstone investors, and a subscription by some of
"The European real estate market is mostly at or past the
trough of the cycle and currently offers great investment
opportunities to capable investors," Mary Ricks, president and
chief executive of Kennedy Wilson Europe, said.
Kennedy Wilson said it had already received binding
commitments of 685 million pounds of the gross proceeds, which
included a pledge from a group of cornerstone investors and
affiliates to invest 615 million pounds.
The twelve cornerstone partners include George Soros'
Quantum Partners and asset manager Janus Capital, it
The listed unit would acquire property and property loans
from distressed sellers and financial institutions looking to
deleverage, and will initially invest in Britain, Ireland and
It has already agreed to buy two property portfolios in
Britain, containing 40 office, industrial and retail properties
spanning across 2.6 million square feet for 223 million pounds.
Deutsche Bank and Merrill Lynch International
are acting as joint global coordinators and joint
bookrunners, while J&E Davy is acting as joint bookrunner.