Investec Property Fund offloads Australian units

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Investec Property Fund offloads Australian units

Published Date: 2019-05-21 | Source: Stephen Gunnion | Author: Stephen Gunnion | Comments

Investec Property Fund offloads Australian units

The fund will use the proceeds from the sale to either pay down debt or invest in its Pan-European platforms.

Investec Property Fund has sold 45-million units in Investec Australia Property Fund (IAPF) after an offer for shares in IAPF was oversubscribed.

The real estate investment trust disposed of the shares to institutional investors at A$1.32 each, resulting in gross proceeds of A$59.4 million, or about R590 million. It said fair value for the IAPF units at the end of March was R571.5 million. It made the units available to cover any oversubscription as part of a plan to free up capital to help it diversity its property portfolio.

IAPF raised over R1 billion ahead of its listing on the Australian Securities Exchange (ASX) next week, issuing 76.9 million shares, also at A$1.32 each. The fund currently has a primary listing on the JSE and a secondary listing on the Bermuda Stock Exchange. Once the ASX listing has been implemented, it will delist from Bermuda and have dual primary listings on the JSE and the ASX.

Investec Property Fund has committed €40 million and €65 million to the Pan-European logistics and light industrial platforms that it's investing in.

Its shares rose 1% to R15.65 yesterday.





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