Aged cared operator Radius Care is planning to raise $50 million to purchase four facilities and pay down debt.
Large investors will be offered a total of $23m worth of shares, with up to $5m being offered to retail investors.
The company also had discretion to issue another $12m worth of shares.
The remaining $10m will be issued to Ohaupo Holdings, who is the landlord that owns the properties that Radius was looking to buy.
The price of the shares will be determined by a market bookbuild later today, but they would be no less than 50 cents per share.
Proceeds from the raise would be used to purchase the land and buildings of four sites from Ohaupo Holdings limited for $31.4m, which is one of Radius' largest landlords.
The facilities comprise 277 existing care beds and adds another 40 beds to Radius' development pipeline.
"We are pleased to demonstrate strong progress against our strategy that we communicated to the market in our December 2020 listing profile," Radius Care's executive chairman Brian Cree said.
This capital raise provides the funds for attractive value enhancing growth, he said.
Cree said the acquisition was part of its strategy to move from leasing facilities, to owning and developing them.
Up to $17m of capital would also be put towards paying down debt and providing the company with financial flexibility in the future.
The equity raise is subject to shareholder approval, and will be voted on at a special meeting later this month.
However, the company said majority shareholder, Wave Rider Holdings Limited, of which Cree is a trustee of, had already signaled it plans to vote in favour of the proposal.