Soon-to-be-listed property asset manager Madison says it has had a positive response from prospective investors.
Madison executive director Marc Wainer said although the firm had not embarked on any investor roadshows, it had received more than 1,500 replies from prospects wanting information and Madison's prospectus.
Madison, which is one of SA's largest property asset managers, is listing on June 7, and is opening its public and private offer for linked units in the firm on Thursday.
The offer closes on June 2.
The private placing is in respect of the issue and sale of R350m of Madison linked units comprising 70-million linked units at 500c a linked unit.
The public offer, which is only open to unitholders of Hyprop, ApexHi and Redefine registered on March 31, is in respect of R300m worth of Madison-linked units, comprising 60-million linked units at an issue price of 500c a linked unit.
"We don?t know what the quantums are. The public offering is limited to the shareholders of ApexHi, Redefine and Hyprop.
"What we did was we sent letters and placed adverts telling shareholders that if they had an interest and wanted a prospectus, they must let us know.
"We have had more than 1,500 replies. However, we don't know at this stage how many of these people will apply for these shares," said Wainer.
Madison manages listed property loan stock companies ApexHi Properties, Redefine Income Fund and Hyprop Investments, which have a combined market capitalisation of more than R15bn and a combined enterprise value of more than R20bn.
He said the private placing was for Madison's black economic empowerment partner, Madison staff and business associates, among others.
"Investors are very interested in Madison, and we are confident we will be fully subscribed.
"Investors find the forward yield of 10% very attractive," said Wainer.
Madison was launched in 2000 by property players Wainer and Wolf Cesman.
Madison is structured similarly to the listed property loan stock companies on the JSE with unitholders investing in linked units and receiving two income distributions a year.
