Investec to acquire Zenprop portfolio for R7bn
JSE-listed Investec Property Fund will acquire a portfolio of 26 retail, industrial and office properties from Zenprop and associated trusts for R7.06-billion.
The acquisition would almost double the size of the Investec’s portfolio, increasing its asset base to R16.4-billion, from the current R9.5-billion.
“It introduces a high-quality portfolio of income-producing properties that further enhances the real estate fundamentals of our existing portfolio,” Investec said in a statement.
Further, Investec said the acquisition presented an opportunity for the fund to acquire an “iconic property portfolio that is unique in terms of location – in Durban, Cape Town and Johannesburg – quality and scale, underpinned by high-quality tenants with strong lease covenants”.
The majority of office and industrial properties were single-tenanted, with triple net leases, and also had long expiry profiles, which would complement and augment Investec’s existing expiry profile.
Investec would fund R800-million of the purchase price through the issue of Investec shares to Zenprop, at a price of R16.51, while it would also settle R200-million through the transfer to Zenprop of Investec Australia Property Fund shares at a price of R11.58.
The remaining R6.06-billion, together with transaction costs estimated at 1% of the purchase consideration, would be settled in cash and would be funded through a combination of debt and equity.
Investec would raise gearing on the Zenprop Portfolio of about 50% of the purchase consideration, which equated to gearing of R3.57-billion.
Comments
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
John Thompson, the leader in energy and environmental solutions through value engineering and innovation, provides the following: design, engineer,...
VISIT SHOWROOM
M and J Mining are leading suppliers of physical support systems as used by the underground mining industry. Our selection of products are not...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
