Hyprop announces R376m rights offer

Posted On Friday, 21 May 2004 02:00 Published by eProp Commercial Property News
Rate this item
(0 votes)


Property group Hyprop (HYP) announced a 376 million rand rights offer, which has been split into a 124.65 million rand raised by issuing nine million shares, and with the balance offered to existing shareholders at a price of 13.50 per unit in the ratio of 19 units per 100 held. The rights offer will not be underwritten.


Property-Housing-ResidentialThe additional nine million Hyprop combined units to three public unit holders (which are not related parties) were issued pursuant to a general authority to issue combined units for 124.65 million rand cash granted to the board at the annual general meeting held on June 18 2003.

The combined units were issued at a price of 13.85 rand per combined unit and listed on Tuesday, May 4 2004 and Thursday, May 13 2004. The proceeds of the issue for cash were utilised to repay borrowings. The borrowings incurred interest at an average rate of 12.49% per annum.

Hyprop has also concluded an agreement for the acquisition of an additional 25.05% interest in the Glen Shopping Centre.

The rights offer is conditional upon the approvals of the requisite regulatory authorities being received and the rights offer circular and letters of allocation being registered with the Registrar of Companies.

Hyprop has concluded an agreement with Gleneagles Retail Centre, a wholly-owned subsidiary of the Standard Bank (SBK), for the acquisition of an extra 25.05% interest in the Glen Shopping Centre, located in Oakdene, Johannesburg, for a cash purchase consideration of 112.725 million rand.

The acquisition is effective on the date on which transfer of the additional undivided 25.05% share is registered in the name of Hyprop. This will mean that Hyprop will increase its controlling interest in The Glen from 50.1% to 75.15%, with Ellerine Brothers owning the remaining 24.85%.

The Glen is a 45,000 square meter regional shopping centre accommodating 158 shops and anchored by Pick `n Pay (PWK), Woolworths (WHL) and Edgars (Edcon, ECO), which, together with other national tenants, occupy 72% of the gross leasable area.

A 6,000 square metre extension, due for completion at the end of 2004 and with an expected yield of 12%, will further enhance the centre's dominant position.

Last modified on Monday, 12 May 2014 14:27

Most Popular

Balwin's Munyaka registers record R850 million in opening weekend sales, selling 555 apartments

Mar 09, 2020
JSE listed Balwin Properties, a developer that cares about environmentally responsible…

Young buyers driving residential property market in Bloemfontein

Mar 04, 2020
Bloem Willows
Bloemfontein is experiencing a surge in residential property transactions concluded by…

Hyprop bolsters Rosebank Mall offering through securing the Checkers Premium FreshX concept

Mar 04, 2020
Rosebank Mall
Shoppers at Rosebank Mall in Johannesburg can look forward to a world-class supermarket…

Balwin Properties and ABSA launch South Africa’s first green home loan

Mar 13, 2020
Apartment 71933
JSE-listed Balwin Properties Limited (Balwin Properties or the Company) and Absa Group…

City Lodge Hotels to list on A2X

Mar 04, 2020
City Lodge Hotel
City Lodge Hotels Limited (share code: CLH) has been approved for a secondary listing on…

Please publish modules in offcanvas position.