Liberty Two Degrees: new look, fresh potential
A restructured L2D could deliver an improved dividend and share price, but some still need to be convinced of this
Despite co-owning what is widely regarded as two of Gauteng’s most prized retail assets — Sandton City and Eastgate Shopping Centre — Liberty Two Degrees (L2D) has had a disappointing run since listing nearly two years ago. The share price has been on a steady decline since the Liberty Group brought a portion of its property assets to the JSE via L2D in early December 2016, with the stock shedding around 30% of its value — from R10.50 at listing to R7.14 this week. L2D has also not lived up to dividend growth expectations. Distributions were down around 1% for the latest reporting period (six months ended June). However, loyal investors are likely to be rewarded for their patience over the next few years following the successful completion of a major restructuring exercise, through which the company began trading in its new guise as a corporate real estate investment trust (Reit) last week.
L2D’s restructuring was prompted by what many believed was an ill-advised and complicat...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.