Growthpoint stakes out growth in Glob­alworth Poland

The Mercury - - COMPANIES - Sandile Mchunu

GROWTHPOINT Prop­er­ties said its wholly-owned sub­sidiary Growthpoint Prop­er­ties In­ter­na­tional has in­creased its stake in Glob­alworth Poland Real Es­tate (GPRE) to 21.6 per­cent.

This comes after the group said yes­ter­day that it had sub­scribed for 95.34 mil­lion shares in Glob­alworth Poland at €1.57 a share for a to­tal of €150 mil­lion (R2.31 bil­lion).

Growthpoint said Glob­alworth in De­cem­ber an­nounced its in­ten­tion to raise a min­i­mum €300m through the is­sue of new or­di­nary shares on the back of its ex­pan­sion into Poland and in re­sponse to sig­nif­i­cant in­vestor in­ter­est.

GPRE has suc­ceeded in de­liv­er­ing in that re­gard by an­nounc­ing a suc­cess­ful clos­ing of a private place­ment of its or­di­nary shares, at €1.57 a share, rais­ing gross pro­ceeds of €450m, through which the com­pany sub­scribed for €300m and Growthpoint Prop­er­ties sub­scribed for €150m .

“Fol­low­ing the clos­ing of the private place­ment, Glob­alworth’s share­hold­ing in GPRE will be 68.4 per­cent and Growthpoint’s share­hold­ing will be 21.6 per­cent,” GPRE said.

The group said in con­junc­tion with this place­ment GPRE would re­pay 300m of out­stand­ing debt, in­clud­ing the prin­ci­pal, in­ter­est and any other amounts due, un­der the loans en­tered into be­tween GPRE and the com­pany and its af­fil­i­ates, re­sult­ing in no change in the com­pany’s net in­vest­ment in GPRE.

Lead­ing in­vestor

Glob­alworth is a listed real es­tate com­pany ac­tive in Cen­tral and Eastern Europe and is listed on the AIM-seg­ment of the Lon­don Stock Ex­change. It has be­come the lead­ing office in­vestor in the Ro­ma­nian real es­tate mar­ket and has now es­tab­lished a sig­nif­i­cant plat­form in Poland, through a ma­jor­ity share­hold­ing in Glob­alworth Poland.

Growthpoint has been ac­tively in­creas­ing its stake in that re­gion and in De­cem­ber the group said it was in­creas­ing its stake in Ro­ma­nia-fo­cused Glob­alworth Real Es­tate In­vest­ments from 26.9 per­cent to 29.5 per­cent.

On Wed­nes­day, Growthpoint Prop­er­ties also launched South Africa’s first un­listed health­care real es­tate in­vest­ment trust, Growthpoint Health­care Prop­erty Hold­ings.

The group said the in­tro­duc­tion of Growthpoint Health­care has re­ceived strong mar­ket in­ter­est with its first close at­tract­ing cap­i­tal com­mit­ments of R285 mil­lion from third par­ties. The group ex­pects to raise at least dou­ble that amount in the next 12 months.

Growthpoint Health­care will be man­aged by Growthpoint Man­age­ment Ser­vices and it aims to in­crease Growthpoint Health­care’s scale for in­vestors and grow it to­wards R10 bil­lion in as­sets and a stock ex­change list­ing.

The new prop­erty hold­ing ve­hi­cle in­vests ex­clu­sively in health­care as­sets in South Africa oc­cu­pied by li­censed op­er­a­tors of hos­pi­tals, clin­ics, phar­ma­cies, and lab­o­ra­to­ries. Its fo­cused in­vest­ment man­date dif­fer­en­ti­ates it.

Growthpoint shares rose 1.42 per­cent to close at R27.19.

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