MAS Real Estate’s acquisition of Prime Kapital gets strong shareholder backing
Property group Attacq and Argosy have confirmed their support for the transaction
JSE-listed property group MAS Real Estate said on Monday shareholders representing almost a third of its shares in issue have already said they will back a proposed takeover of its joint venture with Prime Kapital (PK).
MAS is seeking to bolster its operations in Eastern and Central Europe, and news in September that it was seeking to acquire PK’s management platform sent its share price up by almost a fifth.
MAS said on Monday that property group Attacq, which holds 22.84%, and Argosy, which holds 8.52%, have confirmed their support for the transaction.
MAS has agreed to buy the remaining 20% stake in its investment joint venture with PK, as well as PK’s management company. Though MAS had held 80% of the venture, analysts had pointed to PK’s managerial control as a concern.
MAS’s share price was up 3.47% to R18.17 on Monday morning, having risen 15.5% since the proposed transaction was first announced.
MAS intends to issue 67-million shares to PK, with the matter to be put to a vote during a MAS general meeting on November 20.