This is following the property investment and development fund’s listing on the main board of the Johannesburg Stock Exchange (JSE).
“Pivotal’s listing will provide the company with access to equity funding to continue pursuing both development and acquisition growth opportunities,” said company CEO, Jackie van Niekerk, prior to the listing.
“[This], while also providing investors with access to an A-grade portfolio with superior returns over the long term.”
According to Pivotal, its portfolio of income producing properties is currently valued at approximately 7.8 billion rand.
The company added that as part of its investment strategy, it intends to incorporate a significant African component into its portfolio over the next five years.
Its property portfolio consists of 51.2 per cent retail, 44.5 per cent offices and 4.3 per cent industrial and it operates in three provinces, with 87.4 per cent of its portfolio by gross rentable area in Gauteng.
Pivotal, which has a strategic partnership with South African property developer and manager Abland, as well as other developers, is just one of several real estate companies to list on the JSE in 2014.
Donna Oosthuyse, director of capital markets at the JSE, said “This is our 20th listing in 2014, and Pivotal is the 7th real estate company to join the JSE this year.”
“The improved access to capital resulting from the listing should enhance Pivotal’s ability to pursue property opportunities when they arise in order to generate growth for shareholders,” she stated.
The JSE reportedly has 42 real estate holding and development companies on the main board, with a total market capitalisation of more than 523 billion rand.