- Real estate investment manager Qualitas (QAL) began trading its shares on the ASX today after raising $335 million through an initial public offering (IPO)
- The IPO issued 134 million shares at $2.50 each with a pro-forma market cap of $735 million upon listing
- Qualitas is using the money raised to fund co-investments to grow funds under management and and expand investment opportunities
- In its first day of trade, Qualitas opened at $2.55 and ended the day four per cent higher at $2.60
Qualitas (QAL) commenced trading its shares on the ASX today following an initial public offering (IPO).
The IPO raised around $335 million from institutional and retail investors through the issue of 134 million shares an offer price of $2.50 per share with a pro forma market capitalisation of $735 million upon listing.
Founded in 2008, Qualitas describes itself as an alternative real estate investment manager with committed funds under management (FUM) of $4.2 billion as of October 31, 2021.
The company’s vision is to be a leader in its field and its main goal is to grow its underlying FUM to support long-term annuity-style earnings growth by leveraging its core capabilities across real estate private credit and equity.
Qualitas will use the money from the IPO to fund co-investments to grow funds under management and to give its balance sheet the capacity to underwrite, bridge and warehouse investment opportunities. The company will also use the funds for working capital, to repay existing debt and to fund transaction costs.
Co-founder and Managing Director Andrew Schwartz commented on the success of the IPO.
“The success of our IPO and the larger balance sheet it delivers is anticipated to accelerate our growth in funds under management through an enhanced ability to meet the co-investment requirements of global and domestic institutional investors and provide certainty of capital to assist in underwriting investments for our funds on a timely basis,” he said.
“Our priority is – and will remain – investing our capital in well-considered and risk-mitigated real estate opportunities in both debt and equity that will deliver returns through market cycles.”
In its first day of trade, Qualitas opened Thursday’s session at $2.55 and ended the day four per cent higher at $2.60.