The company will not only continue to expand and upgrade its existing properties but will also actively pursue new investment opportunities capable of meeting its yield criteria.
In addition, they say, Vukile will give priority to the full integration of 98.9% owned subsidiary MICC, with particular emphasis on reducing that company's long-term debt costs, seek to improve the liquidity of Vukile linked units, and leverage Vukile's recently acquired BEE credentials.
During the year ended March, Vukile increased distributions by more than 11% on the back of a strong property performance and the contribution from MICC.
It also launched a successful securitisation programme which has shaved 9 million rand a year off its long-term debt costs.
In addition, it introduced a significant BEE shareholder which has enabled it to achieve its five-year BEE equity target immediately and took the decision to invest some 230 million rand in the acquisition of new properties and the expansion of existing ones.
"Given the sound platform that has been built this year, and the opportunities that are now within Vukile's reach, the board is optimistic that the current favourable trading conditions and the anticipated further savings in debt costs generated by the securitisation project should reflect positively in the distributions for the year ending 31 March 2007," the report said.
I-Net Bridge
Publisher: I-Net Bridge
Source: I-Net Bridge
