| Thu 23 Aug 2007, 13:00 | | SYA - Siyathenga - Audited Financial Results |
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SYA
SYA
SYA - Siyathenga - 1st Draft of results press release
Siyathenga Property Fund Limited
(Registration Number 2004/005198/06)
Share Code: SYA & ISIN: ZAE000069530
("Siyathenga"
SiyaRes1
1st draft of results press release
Strong earnings growth reported by Siyathenga
Siyathenga Property Fund, the specialist retail property loan stock company,
today (Thurs, 23 August 2007) reported strong earnings growth for the year to
June 30, taking investors` distributable earnings to R64,9 million, up from
R38,4 million in 2006.
Distribution per linked unit rose 11,2% to 57,5 cents. The 56,5% total return to
linked unitholders represents capital growth of 46.6% and distributions of 9.9%.
Revenue growth was up from R118,9 million to R187,6 million.
Siyathenga`s growing portfolio now consists of 17 properties with gross lettable
area of 242 233mSquared.
Managing Director, Andre von Bulow reported the successful conclusion of
agreements with the Tokoloho and Meago empowerment consortia. The implementation
of this transaction is still subject to shareholder approval on 10 September
2007. He added: "The transaction meets our criteria for transferring real
benefits to broad-based consortia without compromising the economic interests of
existing investors."
In April, Siyathenga cooperated with associate companies Pangbourne Properties
Limited, iFour Properties Limited and Monyetla Property Fund Limited to set up
South Africa`s first client-sponsored multi-borrower commercial mortgage-backed
securitisation programme.
The securitisation transaction was hedged in full in March to lock in attractive
fixed interest rates.
Borrowings of R831,8 million (2006: R749,5 million) at year-end represent a
gearing level of 47.1%. This is well within the board mandate of 65% and
provides the opportunity for further expansion of the portfolio.
Andre von Bulow commented: "Rental streams and vacancy levels were expected to
remain robust in the coming year and Siyathenga would maintain its strategy of
growing its asset-base through selective acquisition, upgrades and expansion.
The strategic objective is to grow the value of assets under management to R2,5
billion within two years".
ABOUT SIYATHENGA
Siyathenga was listed on 5 August 2005, by way of a rights offer to Pangbourne
unitholders. Since listing and until 30 June 2006, Pangbourne has maintained a
holding above 40 % in Siyathenga.
Siyathenga offers investors an opportunity to invest directly in a retail-
focused property portfolio, which is characterised by regular income escalations
and strong capital growth. Siyathenga is structured as a variable loan stock
company that derives revenue primarily from retail property rentals.
Siyathenga`s market capitalisation has increased from R 350 million in 2005 to
the current level of more than R 1 billion.
Date: 23/08/2007 13:00:01 Produced by the JSE SENS Department.
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