ApexHi Properties Limited has gained control of 19% of MICC’s issued share capital at a cost of R85-million, settled by issue of 4 021 347 ApexHi A and B units and R10-million in cash.

This follows the acceptance of the early settlement offer to MICC shareholders in respect of 2 744 357 MICC units. Together with the 10 014 502 MICC units that were acquired prior to the offer, ApexHi now owns 12 758 859 MICC units.

ApexHi CEO Gerald Leissner says based on the cost to ApexHi and the projected earnings of MICC, the investment is revenue-enhancing for ApexHi.

He says investors should not view this move as a shift in focus for ApexHi. “It is not  the policy of ApexHi to own units in other funds. The move on MICC was originally to acquire MICC’s property portfolio or part thereof. We believe this may still be possible in the medium term and will aim to exchange our MICC units for properties,” he says.

MICC unitholders who accepted the ApexHi offer will have received units at a higher price than the original Vukile offer, and now have the benefit of ApexHi units which offer significant tradability. ApexHi’s liquidity is one of the highest in sector, with 33% of the A units and 28% of the B units trading in the first six months of the current financial year, amounting to trading volumes of more than R1-billion. This provides unit holders with ample opportunity to sell the units at any time.

Unit holders who choose to retain their ApexHi units, will benefit from the consistent returns in quarterly distributions. Based on ApexHi’s current distribution of 54,5 cents per quarter, MICC unit holders will receive 19,62 cents per quarter per MICC unit.