Neinor Homes raises €140m in equity for further growth

Spanish residential developer Neinor Homes, Spain's leading listed residential developer, has completed an Accelerated Bookbuild (ABB), raising gross proceeds of €140 mln through the issuance of 8,900,190 new shares.

Neinor Homes project

Neinor's largest shareholder, Orion Capital Managers, invested €100 mln in this transaction, increasing their stake to 28.8%, while existing shareholders subscribed the remaining €40 mln, Neinor confirmed it now has sufficient funding for the Aedas Voluntary Tender Offer and maintains flexibility for additional growth opportunities. The company has also agreed to a 90-day lock-up period.
Following this capital increase, Neinor's total share capital will grow by 9.9% to 98,862,691 shares. The top three shareholders will collectively own approximately 60%, with the free float remaining stable at around 40%. The offering was significantly oversubscribed, generating orders exceeding €550 million—nearly four times the amount raised.
Banco Santander and J.P. Morgan acted as Joint Global Coordinators, while Alantra served as Joint Bookrunner for the transaction.
Spain's residential market is highlighted as one of the safest globally, characterized by structural undersupply, low leverage, and healthy affordability. 
Despite this strong demand, new housing starts have remained stable at 90,000-100,000 units per year over the last four years, a significant drop compared to the 30-year average of 240,000 units and over 600,000 annually before the Global Financial Crisis. The Bank of Spain estimates an accumulated housing production deficit of around 700,000 homes since 2010.
House prices have been on an upward trajectory, accelerating in recent quarters, despite conservative lending practices by Spanish banks. Nominal average house prices have risen 36% since mid-2021 (+8.0% CAGR), with price growth increasingly outpacing inflation, showing an 11% year-on-year increase in Q2 2025. In real terms, prices have grown 14.5% over the same period (+3.4% CAGR).
Despite these increases, the Spanish residential market maintains healthy affordability. The average mortgage effort rate stands at approximately 30% (Bank of Spain), one of the lowest in three decades, and has begun to decline in 2024 due to easing mortgage costs. Decreasing household debt as a percentage of GDP further strengthens the market's fundamentals.
With the Aedas Homes transaction now fully funded—through a €750 mln senior secured notes agreement with Apollo and the €229 mln ABB in June 2025—Neinor continues to actively seek new growth opportunities in the Spanish residential market. The company benefits from a strengthened competitive position as many peers have reduced or halted land acquisitions. The focus is on its core Build-to-Sell business, as well as exploring alternative living segments like independent senior living and flex living.