Nepi says a suitor is considering four office blocks worth R4.8bn
16 July 2019 - 08:32
byNick Hedley
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Nepi Rockcastle's Serdika Center. Picture: FABRYECE SERDIKA CENTER
Mall-owner Nepi Rockcastle, which said in May it wanted to sell its Romanian office portfolio, says a potential buyer is considering four of those office buildings worth €309.2m (R4.8bn).
Nepi said on Tuesday it had signed a nonbinding letter of intent with AFI Europe, which is owned by Africa Israel Properties. AFI Europe will have exclusivity to conduct a due diligence on four Romanian office buildings with a book value of €309.2m at the end of 2018.
The nonbinding letter of intent will expire in eight weeks.
“Any transaction would be subject to completion of a sale and purchase agreement and the fulfilment of numerous conditions, including receipt of bank financing and regulatory and shareholder approvals to the extent required,” Nepi said.
In June, SA’s capital market regulator cleared Nepi, the biggest company in the Resilient stable of property companies and the JSE’s biggest landlord, of market manipulation related to the 2018 share-price collapse that led to investors losing more than R100bn in value.
The Financial Sector Conduct Authority (FSCA) found no market manipulation by directors, employees or related parties.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
Nepi says a suitor is considering four office blocks worth R4.8bn
Mall-owner Nepi Rockcastle, which said in May it wanted to sell its Romanian office portfolio, says a potential buyer is considering four of those office buildings worth €309.2m (R4.8bn).
Nepi said on Tuesday it had signed a nonbinding letter of intent with AFI Europe, which is owned by Africa Israel Properties. AFI Europe will have exclusivity to conduct a due diligence on four Romanian office buildings with a book value of €309.2m at the end of 2018.
The nonbinding letter of intent will expire in eight weeks.
“Any transaction would be subject to completion of a sale and purchase agreement and the fulfilment of numerous conditions, including receipt of bank financing and regulatory and shareholder approvals to the extent required,” Nepi said.
In June, SA’s capital market regulator cleared Nepi, the biggest company in the Resilient stable of property companies and the JSE’s biggest landlord, of market manipulation related to the 2018 share-price collapse that led to investors losing more than R100bn in value.
The Financial Sector Conduct Authority (FSCA) found no market manipulation by directors, employees or related parties.
hedleyn@businesslive.co.za
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