Sycom disposal of properties
Sycom Property Fund
("Sycom" or "the Fund")
A Collective Investment Scheme in property registered in terms of the Collective
Investment Schemes Control Act, No 45 of 2002 and managed by Sycom Property Fund
Managers Limited (Registration number 1986/002756/06)
JSE share code: SYC
ISIN: ZAE000019303
ANNOUNCEMENT REGARDING THE DISPOSAL OF PROPERTIES
1. Introduction
Unitholders are advised that the previously announced agreement for the sale of
eleven of the Fund"s properties ("the disposal properties") to Zelpy 2095
(Proprietary) Limited has been concluded with effect from the transfer date of
the properties which is expected to take place towards the end of the year.
2. Rationale for the disposals
These properties no longer fit the Fund"s investment strategy, which is focused
exclusively on investment in dominant regional shopping centres as the retail
component, and large, well-located office properties with tenants of good
covenant on a predominance of long term leases. Following the disposal, the Fund
will comprise only seventeen properties all with the qualities for sustained
growth in earnings and capital values.
3. Consideration for the disposals
The consideration for the disposals is R157 million and the proceeds will be
used to partly fund various development projects, which the Fund has initiated
and which have been previously announced.
4. Financial effects of the disposal
The financial effects of the transaction are not material. The combined book
value of the disposal properties is R171 million and the attributable income for
the six months ended 30 September 2003 is R12,23 million.
5. Conditions precedent of the transactions
The transaction is subject only to approval by the Competitions Commission being
obtained by the purchaser.
Johannesburg
5 November 2003
Investment bank and sponsor
Nedbank Corporate
Date: 05/11/2003 12:45:45 PM Supplied by www.sharenet.co.za
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