AUSTRALIAN property firm Goodman Group plans to raise A$1.8 billion to strengthen its balance sheet, on top of a new strategic relationship with China Investment Corporation (CIC).

The company said in a statement it is looking to rasie A$1.3 billion in an entitlement offer and A$500 million through an issue of hybrid securities to CIC.

Law firm Freehills announced today it will advise CIC in relation to its recent A$500 million investment as part of the equity raising. CIC’s participation in the equity raising will be via an investment in exchangeable preference securities.

The investment by CIC in the Goodman Group also marks the further development of the long-term strategic relationship being fostered between these two companies, Freehills said today.

The Freehills team is led by partner Fiona Smedley, supported by solicitors Emma Hoeben and Rohan Pieris.

Freehills partner Fiona Smedley said: “This is the second investment made by CIC in the Goodman Group and in Australia and Freehills is proud to have advised the company on both occasions. CIC’s cornerstone investment in the Goodman Group is an extremely valuable component of the Goodman Group’s wider capital raising.”

The Freehills team worked closely with CIC on all aspects of the transaction in order to adhere to an extremely tight timeframe, as well as with Morgan Stanley who also advised CIC on this investment.