Nedbank’s facilitation of the Barloworld-Khula Sizwe transaction highlights the bank’s commitment to transformation in the commercial property sector

Posted On Friday, 24 January 2020 14:43 Published by
Rate this item
(0 votes)

Nedbank’s facilitation of the Barloworld-Khula Sizwe transaction highlights the bank’s commitment to transformation in the commercial property sector.

Nedbank_Barloworld_Khula_Sizwe

This landmark transaction enabled investors to own a stake in a R3 billion commercial property portfolio through a public offering concluded in May 2019, with shares allocated exclusively to qualifying broad-based black economic empowerment (BBBEE) investors.

The empowerment transaction – one of the largest involving commercial property concluded in South Africa – was a sale and leaseback under which Barloworld is the tenant of the properties, with the lease also securing cashflow for the investors. The transaction was also expected to create a number of benefits for Barloworld:

  • Unlocking over R2 billion cash from its balance sheet.
  • Being able to claim almost 14% black ownership in terms of the BEE codes.
  • Satisfying the black ownership element of its BBBEE scorecard over the long term with the Khula Sizwe transaction and through the Barloworld Empowerment Foundation.
  • Increasing its brand equity with customers and stakeholders.

 

Click for more information

Last modified on Friday, 31 January 2020 11:37

Most Popular

Balwin's Munyaka registers record R850 million in opening weekend sales, selling 555 apartments

Mar 09, 2020
Steve_Brookes_Balwin_Properties
JSE listed Balwin Properties, a developer that cares about environmentally responsible…

Balwin Properties and ABSA launch South Africa’s first green home loan

Mar 13, 2020
Apartment 71933
JSE-listed Balwin Properties Limited (Balwin Properties or the Company) and Absa Group…

Growthpoint reports a steady first half with its growth strategies paying dividends

Mar 11, 2020
Growthpoint Properties Group CEO Norbert Sassee
Growthpoint Properties (JSE: GRT) reported distributable income growth of 2.2% to R3.2bn,…

Spear REIT launches innovative self-isolation campaign for returning travellers in Cape Town, South Africa to combat COVID-19:

Mar 18, 2020
Double Tree Op
JSE listed Spear REIT Limited, the owner of the Double Tree by Hilton Cape Town, is the…

Financial Fitness – Is this the right time to buy property?

Mar 20, 2020
Governor Lesetja Kganyago SARB1
With the South African Reserve Bank’s announcement of interest rates cut of 100 basis…

Please publish modules in offcanvas position.