STOR-AGE PROPERTY REIT LIMITED - Update on acquisition of Storage RSA and Somerset West, opening of book build and investor presentation

Update on acquisition of Storage RSA and Somerset West, opening of book build and investor presentation

Stor-Age Property REIT Limited
Incorporated in the Republic of South Africa
Registration number 2015/168454/06
Share Code: SSS  ISIN ZAE000208963
(Approved as a REIT by the JSE)
(“Stor-Age” or “the Company”)


UPDATE IN RESPECT OF THE ACQUISITION OF STORAGE RSA AND SOMERSET WEST,
OPENING OF ACCELERATED BOOK BUILD OFFERING AND AVAILABILITY OF INVESTOR
PRESENTATION

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO THE
UNITED STATES, CANADA, JAPAN OR ANY JURISDICTION IN WHICH IT WOULD BE UNLAWFUL TO
DO SO.
1.      Update in respect of the acquisition of Storage RSA and Somerset West

Shareholders are referred to the announcement released on SENS on 12 December 2016 wherein
shareholders were advised that Stor-Age had agreed the terms of the transactions in terms of
which Stor-Age would acquire -

 (i)      the entire issued share capital of, and shareholders’ loan claims against, Storage RSA
          Investments Proprietary Limited (“Storage RSA”) for an aggregate consideration of
          R288 768 124 (“the Storage RSA Transaction”); and

 (ii)     the entire issued share capital of, and shareholders’ loan claims against, Units 1-4
          Somerset West Business Park Proprietary Limited (“Somerset West”) for an aggregate
          consideration of R40 000 000 (“the Somerset West Transaction”)

Shareholders are hereby advised that the Company has now received unconditional approval from
the Competition Commission to proceed with the Storage RSA Transaction.

The purchase consideration in respect of the Storage RSA Transaction and the Somerset West
Transaction (collectively, “the Acquisitions”), being an aggregate amount of R328 768 124, shall
be settled by Stor-Age by way of a vendor consideration placement of Stor-Age shares with
interested investors (“the Vendor Placement”).

2.      Opening of accelerated book build offering

Shareholders are hereby advised that Stor-Age will be undertaking an equity capital raise in the
amount of R400 000 000 in order to settle the consideration in respect of the Acquisitions and
reduce debt within Storage RSA.

The balance of the equity capital raised over and above the R328 768 124 raised in terms of the
Vendor Placement, will be raised pursuant to Stor-Age’s general authority to issue shares for cash
as approved by shareholders at the general meeting held on 24 August 2016.

The equity capital raise will be implemented through an accelerated book build process (the “Book
Build”) which will open at 9:00am on Monday, 20 February 2017.

The Company reserves the right to close the Book Build at any time and increase or decrease the
size of the Book Build subject to demand.

The new shares, when issued, will be credited as fully paid and will rank pari passu in all respects
with existing shares. Pricing and allocations will be announced as soon as is reasonably
practicable following the closing of the Book Build.

Questco (Pty) Ltd (“Questco”) is acting as sole book runner and can be contacted at the contact
details included below.

3.    Availability of investor presentation

Shareholders are advised that an investor presentation, setting out further information in respect
of the Acquisitions and including, inter alia, unreviewed pro forma financial information in respect
of the Acquisitions and unreviewed forecast financial information in respect of the 2017 and 2018
financial years, is available for download on Stor-Age’s website: www.stor-age.co.za or may be
requested from Questco at the contact details contained below.

Questco contact details:

Marian Gaylard / Claudia Adamson
Email: Stor-Age@questco.co.za
Tel:   +27 (11) 011 9200

Cape Town
16 February 2017

Sole Book Runner, Corporate Advisor and Sponsor          Competition Law Advisor
Questco (Pty) Ltd                                        Baker & McKenzie




                                                                                              

Date: 16/02/2017 01:56:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 
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