JSE Listed MAS PLC Details Its Plans Of Acquiring Six Subsidiaries Of PKM Development
JSE Listed MAS PLC Details Its Plans Of Acquiring Six Subsidiaries Of PKM Development. Johannesburg Stock Exchange listed real estate company MAS PLC has announced its plans of acquiring 100% of six subsidiaries of PKM Development.
The company said in a statement, “Shareholders are advised that MAS has entered into negotiations to acquire 100% of the share capital and shareholder loans of six subsidiaries of PKM Development Limited (‘PKM Development’), owning six commercial retail centres in Romania (the ‘Properties’) (the ‘Proposed Acquisition’). MAS owns 40% of PKM Development’s ordinary share capital.”
Achieving these acquisitions is expected to lead to substantial improvements in total returns and implies an increase in scale that will position MAS well for an investment-grade credit rating, which will enable further flexible access to debt finance at optimal cost. The deal will also provide MAS the opportunity to add additional scale to its operations in CEE via attractive direct acquisitions, and to significantly extend the benefits expected to be derived from ongoing commercial and residential development activities housed in the DJV.
PKM DDevelopment is a developer of real estate services in Romania. The company’s projects includes a retail development pipeline including a super-regional mall, 2 regionally dominant malls and 11 value centers. MAS PLC is a property investor and operator listed on the main board of the Johannesburg Stock Exchange. The group is internally managed, combining investment, acquisition, leasing, asset and property management, marketing, and finance skills.
Together with its joint-venture partner, Prime Kapital, the company now has a significant development pipeline in Romania’s retail and residential sectors, bringing a significant contribution to our future earnings. In 2021 the company obtained credit ratings from both Moody’s and Fitch rating agencies, and subsequently priced EUR300 million unsecured green bond, and these proceeds will be used to finance or re-finance projects which support the transition to a low-carbon economy and the United Nations Sustainable Development Goals.
