Housebuilder's share placement opening today provided funds to buy development land

Bovis Homes has successfully raised £60m with a share placing announced earlier today.

Bovis issued a statement at 12.30pm today saying it had successfully placed 12.1 million new ordinary shares at a price of 500p per share, raising gross proceeds of approximately £60m.

Stock exchange
Bovis Homes is placing 12.1 million ordinary shares on the market today

Bovis said earlier that the capital raising exercise was designed to give it funds to invest in land at a good price. It said it was currently appraising “a number of opportunities” to invest.

Bovis in March this year announced plans to reduce debt from £108m to £50m as part of a cost-cutting drive that saw it lay off 600 staff in 2008. However, last month it announced it made a small profit before exceptional costs and tax in the first half of the year on rising sales since Christmas.