Acucap - Disposal of properties
ACUCAP PROPERTIES LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 2001/021725/06)
Share code: ACP ISIN: ZAE000037651
(`Acucap` or `the company`)
DISPOSAL OF PROPERTIES
1. Introduction
Linked unitholders are advised that Acucap, through its wholly owned subsidiary
Acucap Investments (Proprietary) Limited, has entered into an agreement with
Capital Property Fund (`Capital`) to dispose of four of its properties known as:
- Homeworld Centre, Randburg;
- Shoprite, Pretoria North;
- Lindsay Saker, Rosebank; and
- Imperial Motors, Strijdom Park
with effect from 1 August 2004 (`the disposals`).
2. Rationale for the disposals
The disposals have been made in accordance with Acucap`s strategy of refreshing
its property portfolio, achieved in part by disposing of those assets that no
longer meet the company`s long-term investment criteria, such as motor
showrooms.
3. Consideration for the disposals
The consideration for the disposals is R95.35 million. Of the consideration,
R47.675 million will be received in cash, while the remaining balance of R47.675
million will be settled through the receipt of 20 728 261 units in Capital,
issued at a price of R2.30 per unit.
The cash received will be used to reduce long term borrowings. The units in
Capital have been taken up as part consideration in order to mitigate the
dilutionary effects of the disposals. However, Acucap`s strategy is not to
become a hybrid fund, holding both property and stock in listed property, so it
intends to dispose of the Capital units as and when appropriate market
conditions prevail.
4. Financial effects of the disposals
The financial effects of the disposals on Acucap`s earnings per linked unit,
headline earnings per linked unit, distribution per linked unit and net asset
value per linked unit are not material and have therefore not been disclosed.
5. Conditions precedent relating to the disposals
The disposals are conditional upon the approvals of the regulatory authorities,
including the Competition Commission. Linked unitholders will be notified on
the Securities Exchange News Service when the conditions precedent have been
fulfilled.
Cape Town
21 July 2004
Investment bank and Corporate law advisers
sponsor
Nedbank Capital Edward Nathan & Friedland
Date: 21/07/2004 05:26:09 PM Produced by the JSE SENS Department
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