ACTIVITY on the mergers, acquisitions and new listings front has slowed, as a weak economy and rand volatility put a brake on companies’ expansion plans, but the JSE’s property sector is bucking the trend.About R20bn in fresh capital has been raised by more than a dozen real estate investment trusts (Reits) in 2016, the latest figures from asset manager Stanlib show.If the pace continues, the total amount of capital raised in 2016 through book-builds, private placements, rights issues and dividend reinvestments is likely to exceed the R36bn raised by the listed property sector in 2015. It could even surpass the R40bn record achieved in 2014. Back then, initial public offerings (IPOs) accounted for the largest chunk of investment flow.This time around, most of the activity is being driven by rand-hedge counters looking to expand offshore. The R450bn sector has already grown its exposure to beyond SA’s borders to close to 40% today, from less than 5% of total assets in 2010.The larges...
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