Specialist lending trust Honeycomb (HONY) has raised £105 million, as investors continue to swarm towards alternative sources of income.
The trust issued 10 million shares at £10.50 in an oversubscribed placing. The issue price represented a 5.6% premium to the net asset value (NAV) as of 30 April but a 5.8% discount to the closing price of £11.15 on 24 May, the day before the placing was announced.
The £105 million raising grows the trust by around 50% to £300 million and is just the latest issuance for the rapidly growing fund. It launched in December 2015, raising an initial £100 million, and followed up with issuances in May and December last year of £50 million each.