Polar healthcare trust raises £89m

14th Jun 2010 15:53

Fund manager Polar Capital has raised £89m for the Polar Capital Global Healthcare Growth and Income Trust. The target figure for the placing and offer for subscription was £100m at 100p a share so the cash raised has not fallen far short of that figure. The new healthcare trust will have £87.22m to invest after expenses are taken into account. The trust's fund managers Daniel Mahony and Gareth Powell believe that the sector is undervalued. The trust will have a fixed life to January 2018 and plans to pay a dividend of 3p a share for the financial period to September 2011. A one-for-five bonus subscription share issue is receivable by all initial investors - a total of 17.8m shares. These shares are exercisable in January 2014 at 100p each. Trading in the shares will commence on Tuesday (tomorrow).