TEXTON PROPERTY FUND LIMITED Stonehill Property Group Limited entered into an agreement to acquire Foretrust Property and Loop Street Properties for approximately ZAR 400 million on December 15, 2021. Net proceeds will be utilised to repay debt and further strengthen Texton's balance sheet. In addition, the sale proceeds will provide flexibility for future opportunities to diversify investment into other asset classes which appear attractively priced.
By no later than April 12, 2022, the Stonehill Property Group Limited confirms in writing that it is satisfied with its due diligence investigation undertaken in respect of the Foretrust Property and Loop Street Properties; By no later than April 12, 2022, the Stonehill Property Group Limited confirms and provides written confirmation of the leasing terms agreed with the tenants or prospective tenants; By no later than April 12, 2022, the Stonehill Property Group Limited provides written irrevocable funding commitments for the aggregate amount equal to the Disposal 2 Purchase Consideration; The Texton Property Fund Limited obtains the consent of the mortgagees in respect of any mortgage bonds registered over any of the Disposal 2 Properties, in relation to the implementation of the disposal and to the cancellation of the mortgage bonds upon transfer; JSE Limited and Shareholder approval and Finalization of all requisite board approvals. Investec Bank Limited acted as as corporate advisor and sponsor. The transaction requires shareholders approval of Texton Property.
As of April 12, 2022, Stonehill Property Group Limited entered into an amendment to the Sale Agreement to acquire Foretrust Property and Loop Street Properties, whereby all condition precedents announced on December 17, 2021, will be extended from April 12, 2022, to June 30, 2022, to allow Stonehill additional time to fulfil the conditional precedents.
