Beachcomber’s Mauricia Resort & Spa in Mauritius, in which Grit owns a stake. Picture: SUPPLIED
Beachcomber’s Mauricia Resort & Spa in Mauritius, in which Grit owns a stake. Picture: SUPPLIED

Pan-African property fund Grit Real Estate has upped its stake in Botswana’s Letlole La Rona (LLR) to 30% as it seeks to increase its presence in the rapidly growing African country.

Grit previously held 6.5%, with its new stake costing it R203m, which will be funded by share issuance.

Botswana has one of the highest per-capita GDPs in Africa, and grew at 4.6% in real terms in 2018, Grit said. Botswana is an investment-grade country.

“We are pleased to announce this further increase of our stake in LLR, which represents an opportunity to use LLR’s local expertise and to gain exposure to exciting asset management opportunities whilst significantly increasing our presence in Botswana, a key market for Grit’s future growth,” said CEO Bronwyn Corbett in a statement.

LLR listed on the Botswana Stock Exchange in 2011 and owns 20 properties worth R1bn, mainly around the nation’s capital Gaborone.

Grit’s share price was unchanged at R16.49 on Wednesday morning, having fallen 12.05% so far in 2019.

Correction: 22 November 2018

An earlier version of this article mistakenly labeled Letlole La Rona as Letlole La Rone.

gernetzkyk@businesslive.co.za