Sequoia Economic Infrastructure Income Fund will raise GBP 216 million in gross proceeds to fund what it called an attractive pipeline of investment opportunities in the economic infrastructure debt market.

The investment fund plans to issue up to 200 million new ordinary shares at 108.0 pence (US$ 1.36) per share. Shares on Monday opened 0.7% lower at 111.40p, giving the fund a market capitalization of GBP1.18 billion. The company intends to offer 132.6 million new ordinary shares via an open offer. The balance of new shares, together with any shares not taken up under open offer, will be made available under placing and subscription offer.

Proceeds of the equity fundraising will be used to repay GBP 175.3 million (US$ 221.69 million) outstanding under a revolving credit facility. Any remaining proceeds will be deployed into the company's near-term pipeline of opportunities.