Rebosis Property Fund throws its last dice
Group, which is to sell three malls to Vukile fund for $1.8bn, plans to dispose of two more malls to raise cash and reduce its loan-to-value
Rebosis Property Fund, which reported a half-year loss nearly equal to its R2bn market capitalisation, is scrambling to survive, and plans to sell more assets to pay debts. Founded by Eastern Cape entrepreneur Sisa Ngebulana, the struggling group has also become the first real estate investment trust in the history of the listed property sector not to pay a dividend for the period. Rebosis announced on Monday that it was in talks to sell three of its six malls — Mdantsane City Shopping Centre, Bloed Street Mall and Sunnypark Shopping Centre to Vukile Property Fund — for R1.8bn.
Then on Tuesday, Ngebulana, who is also the group’s CEO, said he would look to sell two more malls to raise cash and to reduce the company’s loan-to-value, which had grown from 51.6% at the end of August 2018 to 57.1% at the end of February . “We will be left with one mall, one industrial property and many offices. At this point we are not specifying which mall it will be as we need to see what of...