Rebosis Property Fund acquires 62% of New Frontier’s issued share capital for R1.18 billion

Posted On Monday, 30 March 2015 16:44 Published by
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Rebosis Property Fund acquires 62% of New Frontier Properties’ issued share capital for R1.18 billion as New Frontier readies to invest in the UK.

Sisa Ngebulana

The New Frontier investment affords Rebosis the opportunity to access offshore retail property exposure and to participate in a UK retail property investment which provides an attractive GBP forward yield of 7.01%. 

Rebosis has subscribed for 64 655 053 shares in New Frontier Properties Ltd representing approximately 62% of New Frontier’s issued share capital, after a private placement of New Frontier shares.

The New Frontier shares will be acquired with effect from 26 March 2015 at a price of R18.2507 per New Frontier share for an aggregate purchase price of R1.18 billion. The acquisition is unconditional and the purchase price will be discharged in cash against issue of the shares. 

New Frontier is incorporated in Mauritius and has its primary listing on the SEM and a secondary inward listing on the Alternative Exchange of the JSE. The proceeds of the private placement will be utilised by New Frontier to fund the acquisition of an initial portfolio of United Kingdom (“UK”) retail assets. Following the closing of this acquisition New Frontier will elect into the UK REIT regime.

New Frontier’s acquisition pipeline provides significant opportunities for value enhancement within the company’s portfolio.

Last modified on Tuesday, 31 March 2015 10:47

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