Arrowhead, the JSE-listed property company, has concluded an agreement to acquire 34,5 million Dipula B linked units (comprising 22% of Dipula's B linked units) from Investec Asset Management.
The acquisition is unconditional and the purchase price will be discharged by the allotment and issue of 18,8 million Arrowhead A and 18, 8 million Arrowhead B linked units to Investec Asset Management on or about 27 March 2014.
Gerald Leissner, Arrowhead CEO, says, "It is not Arrowhead's objective to become a hybrid company by owning property directly and holding, for the long term, shares in other property companies. Arrowhead will only acquire an investment in other property companies with the objective of converting the investment into physical property over time. The Dipula transaction, which is revenue enhancing to Arrowhead, is in line with this strategy as it provides Arrowhead with a strategic stake in Dipula's R3.75 billion portfolio of commercial and retail properties that are complementary to Arrowhead's property portfolio."