UK Markets closed
  • NIKKEI 225

    26,809.37
    +8.39 (+0.03%)
     
  • HANG SENG

    26,728.50
    +195.92 (+0.74%)
     
  • CRUDE OIL

    45.73
    +0.45 (+0.99%)
     
  • GOLD FUTURES

    1,842.00
    +11.80 (+0.64%)
     
  • DOW

    30,030.58
    +146.79 (+0.49%)
     
  • BTC-GBP

    14,381.13
    +206.93 (+1.46%)
     
  • CMC Crypto 200

    381.05
    +6.64 (+1.77%)
     
  • Nasdaq

    12,401.05
    +51.69 (+0.42%)
     
  • ^FTAS

    3,672.88
    +21.56 (+0.59%)
     

Schroders' fund float to raise 250 million pounds for COVID hit companies

·1-min read

LONDON (Reuters) - Schroders said on Tuesday it aims to raise 250 million pounds by floating its new British Opportunities Trust fund next month that will inject equity into high growth companies hit by the coronavirus pandemic.

COVID-19 and other economic factors were having a dramatic effect on many companies in Britain, creating a "once in a generation" need for new equity, the company said.

Many companies have been kept afloat by state-backed loans since a lockdown in March tipped the economy into recession and there may not be full recovery until 2022.

Schroders said the money raised will be split between private and public investments.

Neil England, chair of Schroder British Opportunities Trust, said the pandemic has created investment opportunities in many established, high growth businesses that are currently "mispriced".

"Several of these companies have already been identified as candidates for early investment," England said.

The offer opens on Tuesday, with shares due to start trading on the London Stock Exchange on Dec. 1.

(Reporting by Huw Jones, editing by Sinead Cruise)