The Abalengani Group of companies, the property investment arm of the Moti family, has announced that the company intends listing on the main board of the JSE through a reverse listing transaction.

The listed entity will be known as Abalengani Property Group Limited.

Through a proposed Management Buy-Out (MBO) transaction, Abalengani intends using the existing listed company, KayDav Group Ltd to reverse list on the JSE.

Following the disposal of its wooden board and timber related business to management, KayDav will be rendered as a listed cash shell.

The renamed listed entity will acquire a unique portfolio of properties currently held by Abalengani for a purchase consideration of approximately R3.1-billion.

According to Abalengani chairman, Zunaid Moti, the decision to list has been taken to expand and grow the Moti family's property business interests.

"The intention is to provide a tax free inflation linked investment instrument secured by tangible security in the form of property having a guaranteed yield."

Abalengani has in excess of 10 years experience in the property industry.

The success of the Abalengani business is based on their experience and expertise in identifying and acquiring suitable properties in the best areas.

A cautionary statement was released to all KayDav Group Limited shareholders on January 28.

Source: I-Net Bridge