UK focused specialist property real estate investment trust (REIT) Capital & Regional has announced a proposal for a secondary listing on the Johannesburg Stock Exchange (JSE).
The proposal, which has now been granted approval, was first hinted at in the company’s interim results released last month and Capital & Regional is expected to list in Johannesburg on the 7th of October this year. The listing will concern all of its issued ordinary shares on the Main Board of the JSE in the “Retail REITs” sector, and will be categorised as a foreign inward listing.
Chief executive of Capital & Regional, Hugh Scott-Barrett, believes that the secondary listing will prove beneficial for the company going forward.
He says; “Having received positive interest from South African institutional investors we have decided to seek a secondary listing for Capital & Regional in Johannesburg.
“We believe that a JSE listing will both improve the depth and spread of the Company’s shareholder base and provide South African institutional and private investors with an opportunity to participate in the future income and capital growth from our high quality portfolio of community shopping centres in town centres across the UK.
“Additionally, the listing should increase the liquidity of the Company’s shares and enhance potential funding options to pursue future growth and investment opportunities.”
At present, Capital & Regional’s asset portfolio is comprised of six wholly owned shopping centres under umbrella term “the Mall portfolio” and 20 per cent and 50 per cent joint venture interests in a further two centres located in Redditch and Ipswich respectively.
These assets help to meet Capital & Regional’s long term aims by offering investors exposure to high quality, strong assets that are typically dominant in their immediate catchment areas, along with an attractive dividend yield.
Capital & Regional has its primary listing on the Main Market of the London Stock Exchange (LSE). To date, the market capitalisation of the company stands at £469.5 million.
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