North East housing association secures £100m deal with international investors

Thirteen has issued a private placement to UK and US institutional investors having secured a £100m injection of new capital.

The housing association secured the funding after its leadership team gained investors at several roadshows.

The £100m private placement is spread over a number of tranches with 25-year to 35-year maturities and a weighted average cost of funds of 2.86 per cent.

Heather Ashton, Thirteen’s executive director of resources, said: “This is fantastic news for Thirteen as it means we’ve secured long term funding at a very low, fixed cost that will help us to realise our growth and development ambitions.

“We’re really pleased with the feedback we received from investors throughout the process. It was extremely positive, and their confidence in Thirteen’s management team and governance has resulted in a fantastic outcome for our first private placement.”

The new funding will support the delivery of Thirteen’s development programme during the next five years, further strengthening an already healthy financial position.

Ian Wardle, Thirteen’s chief executive, added: “Over the next five years, we’ve pledged to invest more than £1bn into improving homes for existing customers, building new homes, making improvements to neighbourhoods and delivering support services.

“By broadening our funding base in this way, we can continue to invest in existing customers as well as building the new homes that future customers want and need.

“Earlier this year, we were also delighted to be named as a Wave Partner by Homes England, only one of two partners based in the North East, to help us further extend our pipeline of affordable homes across its operating area.”