Advertisement
What really powers the cloud? Behind every Google search, A...
A lot of what defines a home isn’t visible at handover. I...
Private equity has played a significant role in shaping Indi...
Luxury real estate is one of the most talked-about segments ...
Airports play a much bigger role than just enabling travel -...
Vukile Property Fund has announced plans to raise nearly INR 13.5 billion (about ZAR 2.8 billion) through a new share issue as part of its expansion strategy in Europe. The fundraising will be carried out through an accelerated bookbuild process and the proceeds will mainly be used to acquire three shopping centres in Italy valued at EUR 115 million. The move comes as the South African property group continues to increase its presence in the European retail real estate market, particularly through retail-focused assets in countries such as Spain and Italy.
South African real estate investment trust Vukile Property Fund has announced an equity raise of around ZAR 2.8 billion through a new share issue to support its latest retail property acquisition in Europe. Advertisement
The company said in a regulatory filing during the past week that it had opened an accelerated bookbuild process under the code VKE21. The capital raised from the issue will be used to fund the acquisition of three shopping centres in Italy with a combined value of EUR 115 million.
The proposed acquisition marks another step in Vukile Property Fund’s expansion across European retail markets. The company has steadily increased its exposure to retail assets outside South Africa over the last few years, especially through investments in Spain and Portugal via its subsidiary Castellana Properties.
Industry analysts have noted that several South African property groups have been expanding internationally to diversify rental income streams and reduce dependence on local market conditions. Retail-focused assets in parts of Southern Europe have continued to attract investor interest due to relatively stable footfall and improving consumer activity.
The latest transaction is expected to strengthen Vukile’s portfolio of shopping centres and further increase its presence in Italy, where investor interest in retail real estate has gradually improved following stronger tourism and consumer spending trends in major urban and regional markets.
The company has not yet disclosed detailed operational information about the three shopping centres or the timeline for completion of the acquisition. However, the fundraising indicates that the group is moving ahead with its planned European growth strategy despite continued uncertainty in global property markets and financing conditions.
Shares issued under accelerated bookbuild programmes are generally offered to institutional investors within a short time frame, allowing companies to raise capital quickly for acquisitions or balance sheet requirements.
Source Reuters
5th Jun, 2025
25th May, 2023
11th May, 2023
27th Apr, 2023
Advertisement
Facebook
Whatsapp
