london stock exchange welcomes grit real estate income group to the main market
London Stock Exchange today welcomes Grit Real Estate Income Group Limited ("Grit"), a leading pan-African income real estate company, to trading on the Main Market for listed securities.
Grit has a selective portfolio of quality assets, diversified across sectors, jurisdictions and tenants. Currently present in seven African markets (Botswana, Kenya, Mauritius, Morocco, Mozambique, Ghana and Zambia). The Group has other markets targeted or under consideration, including Sengal and the Seychelles. The Group has leveraged its strengths and competitive advantages to become a leading pan-African real estate company with a strong focus on selected African countries with strong fundamentals and strength of counterparty.
Grit is focused on real estate investment assets underpinned by predominantly US$ and Euro denominated long-term leases with high quality tenants delivering strong and sustainable income. Grit's current portfolio comprises 20 income producing properties in six countries (plus one vacant land plot held for development and a 6.25% equity investment in a listed Botswana property group) with an aggregate valuation of approximately US$588.5 million and an estimated property net initial yield of 8.1%, and 308,105m² of gross lettable space (30 June 2018). Grit's investment strategy is to grow the portfolio based on quality hard currency long-term leases and strong counterparties, to focus on countries with existing / pending REIT structures; and to develop and maintain strategic partnerships in existing jurisdictions that will secure pipeline and strengthen in-country resources.
Conditional dealing in the Company's primary listed ordinary shares starts today under the ticker “GR1T”. The IPO is intended to position the Company for the next stage of its development, creating a compelling opportunity for UK and other equity investors to gain exposure to the African real estate sector, which offers some of the best returns in the global property market. The listing will support our aim to grow our portfolio further and become the leading real estate owner on the African continent outside South Africa.
Bronwyn Corbett, CEO of Grit, said:
"We are delighted to have successfully completed our Listing on London Stock Exchange and we are proud to be the first London listed pan-African real estate group. We welcome our new shareholders and look forward to embarking on the next phase of our development as we seek to take advantage of the further opportunities for real estate investment assets in pre-selected African counties and beyond."
AXYS Corporate Advisory acted as lead transaction adviser and Perigeum Capital acted as the Mauritian transaction adviser. finnCap Limited acted as UK financial adviser and joint UK placing agent. Baden Hill, a trading name of Northland Capital Partners Limited and Exotix Partners LLP acted as joint UK placing agents. PSG Capital acted as sponsor and placing agent in South Africa.