Saturday, March 6, 2021

PrimeTime approves sale of F/Town properties to pension fund

The Extraordinary General Meeting (EGM) of PrimeTime Property Holdings Limited this week approved the sale of its Francistown properties to Botswana Public Officers Pension Fund (BPOPF).

The developments follow the announcement made by the Botswana Stock Exchange listed company and a requirement of listing requirements that within 28 days of the announcement a circular will be issued and notice given of an extraordinary general meeting of linked unitholders to approve the Development.

 

PrimeTime said 63 unitholders were represented, either in person or by proxy, who held in total 116,114,721 Linked Units (each Linked Unit consisting of one share and one debenture indivisibly linked) which represented 79.92 percent of the issued share capital and the issued debentures, excluding those held by the related parties to the proposed transactions ÔÇô as defined by Section 3 of the circular dated 27 August 2015.

 

“The purpose of the meeting was to conduct the special business as set out in the Circular to Linked Unitholders, dated 27 August 2015 (“the Circular”). The two ordinary resolutions were passed unanimously by the Unitholders present and represented by proxy.”

 

The unitholders resolved that the sale by the company of Barclays Plaza and Blue Jacket Square to the BPOPF (as defined in the circular dated 27 August 2015) on the terms and conditions authorised in the Circular, be approved. The resolution was passed by 63 votes in favour (both present in person and represented by proxy), no votes against and no abstentions.

 

They also resolved to authorise any Director of the Company to do all such things and sign all such documents that are necessary to give effect to the resolutions passed at this meeting, be approved. PrimeTime said the resolution was passed by 63 votes in favour (both present in person and represented by proxy), there being no votes against and no abstentions.

 

The assets are the commercial building and land held under the deed: FT 417/2008 and the commercial building and land held under deed: FT 419/2008, known as Barclays Plaza and Blue Jacket Square respectively.

 

PrimeTime said the disposal provides a unique opportunity to realise a premium over the independently determined carrying value of the properties. The cash proceeds will initially reduce the finance costs of the company and going forward provide greater funding capacity for future investments.

 

The deal is for a consideration sum of P71 million gross of agent’s commission and other transaction costs, payable in cash.

 

PrimeTime is in the process of developing the Pilane Crossing, which it said presents value proposition for unit holders as early indication show there is demand in that area.

The project will be developed after PrimeTime entered into a Development Agreement with Time Projects, in terms of which Time Projects will develop a retail shopping centre on the Pilane Plot at an estimated cost of P75.2 million.

The total cost of the development, including the acquisition of the land, its servicing and related professional costs bring the estimated total investment cost in the development to P96.8 million.

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