Property investment firm Hibernia REIT said it plans to raise €300m in a placing and open offer of shares to fund more property acquisitions, having spent the proceeds from its initial public offering (IPO).
Property prices and rents have begun to rise in Ireland after their collapse in a 2008 property crash.
This has led to a surge in demand from investors abroad and new publicly listed companies at home for hotels, office blocks and retail units.
Hibernia, which raised €372m from its IPO last December, said it would issue the new stock at €1.05 per share, a 7.5% discount on yesterday's closing price.
Hibernia has seen its portfolio of mainly Dublin-based office spaces increase in value by 9.3% in less than a year. It said a shortage of supply in the capital would push up rents over the next two to three years.
"Our view is that there is still a significant amount of opportunities out there and there is considerable growth to go on the rental side due to the under supply situation," Hibernia's chief executive Kevin Nowlan said.
"There has been no material response to the under supply situation. The development and construction machine has been very badly broken in Ireland and it's going to take quite some time to fix itself," Mr Nowlan added.
