Perth-based property company Aspen Group has released its second offering of stapled securities in the Aspen Parks Property Fund to raise $50 million for the purchase of holiday and caravan parks.
Perth-based property company Aspen Group has released its second offering of stapled securities in the Aspen Parks Property Fund to raise $50 million for the purchase of holiday and caravan parks.
The capital raising seeks to continue the growth of the fund through the acquisition of additional caravan and holiday parks, enabling the fund to achieve its objective of acquiring a minimum of $150 million in assets.
The majority of Aspen Parks assets are in Western Australia - including Woodman Point and Coogee Beach, near Fremantle, Perth Hills, Monkey Mia, Exmouth, Karratha and Port Hedland - with four other sites spread along the east coast of Australia.
The offer comprises one unit in Aspen Parks Property Trust and one share in Aspen Parks Property Management Ltd (valued at 6 cents per share), joined together to form a stapled security in Aspen Parks.
The issue price for each unit in APPT will be determined as per its constitution with the total application price, as at the 26th May, being $1.2349.
The minimum investment is $10,000.
In the Letter to Investors, Aspen Group managing director Angelo Del Borrello said the fund's assets, since its inception in July 2004, had grown from $31 million to approximately $95 million through the acquisition of a number of parks across Australia.
The offer document opened for applications on 26th May 2006, while the closing date will be at the discretion of the manager.
Aspen Parks is an open-ended investment, and as such has no expiry date. It intends to make recommendations to security holders with regard to the continuation of Aspen Parks in June 2011, seven years from the date the fund was established.
Recommendations may include restructuring Aspen Parks to enable ASX listing and/or sale of individual assets and termination of Aspen Parks.
In April, Aspen Parks announced the acquisition of Horseshoe Lagoon at Moama in New South Wales to the Aspen Parks Property Fund stable.
At the time, Mr Del Borrello said the acquisition demonstrated further exciting growth for the fund. "Horseshoe Lagoon provides Aspen Parks with a stable annual income while offering growth opportunities through the planned development of surplus land," Mr Del Borrello said in a statement. Horseshoe Lagoon is situated on the Murray River in NSW, directly opposite another of the fund's properties.
As at 1230 WST, shares in Aspen Group were down 1 cent to $1.48.
