29 Nov 2019

Botswana Development Corporation (BDC) has acquired three per cent strategy equity stake in one of Africa’s largest Pan African Listed property company, Grit Real Estate Income Group Limited.

In an interview, BDC head of corporate affairs and strategy, Ms Boitshwarelo Lebang said the acquisition was part of a share swap between Grit Real Estate and the corporation.

Again, she said the acquisition would open the corporation to global trade network. The acquisition also saw BDC settle a 23.75 per cent share capital over to Grit Real Estate with its holding from Letlole La Rona (LLR) Limited.

Ms Lebang explained that the transaction reduced the BDC shareholding in LLR by 23.8 per cent where BDC retained a share percentage of 42.0 per cent with Grit real Estate, gaining a 23.75 per cent share against its original shareholding of 6.25 per cent.

However, despite reduction in their LLR shareholding, a statement from the BDC suggests that the transaction with the real estate company will provide higher revenue returns which will be ploughed back into the local economy without requiring any further investment.

Moreover, the transaction will further allow BDC and LLR to leverage geographic footprints in global markets beyond Botswana.

Grit Real Estate, formerly Mara Delta Property Holdings Limited, is an income fund based in Mauritius with focus on African real estate assets which had interest in a variety of major property sectors including retail, commercial, hospitality and corporation accommodation.

ENDS