Sharenet Sites 
Sharenet Sites
GRT - Growthpoint - Acquisition GROWTHPOINT PROPERTIES LIMITED (Incorporated in the Republic of South Africa) (Registration number 1987/004988/06) Share code: GRT & ISIN: ZAE000037669 ("Growthpoint") ACQUISITION BY GROWTHPOINT OF TWO SEPARATE LETTING ENTERPRISES FROM MIDRAND TOWN CENTRE (PROPRIETARY) LIMITED ("MTC") AND INVESTEC PROPERTY GROUP LIMITED ("IPG") RESPECTIVELY, COLLECTIVELY ("the acquisitions") 1 Introduction Investec Bank Limited is authorised to announce that Growthpoint has entered into two separate acquisition agreements in terms of which it will acquire the letting enterprise situated at Erf 43 and Erf 44, Grand Central Extension 1 Township ("the Midrand property") from MTC as well as the letting enterprise situated at the remaining extent of Erf 132, Rosebank Township ("the Rosebank property") from IPG. The effective date of the acquisitions will be the respective dates of transfer and registration of the Midrand property and the Rosebank property into the name of Growthpoint. 2 Purchase Consideration The Midrand property will be acquired for a total purchase consideration of R64 430 087 (sixty four million four hundred and thirty thousand and eighty seven rand), whilst the Rosebank property will be acquired for a total purchase consideration of R49 505 417 (forty nine million five hundred and five thousand and four hundred and seventeen rand). The purchase consideration for both properties will be settled in cash on transfer and registration of the properties into the name of Growthpoint. 3 Suspensive Conditions There are no suspensive conditions outstanding in terms of the acquisitions. 4 Nature of the business Growthpoint is a property investment holding company with a diversified portfolio of 419 properties valued at more than R22 billion at 30 June 2007. Measured by market capitalisation and total assets, Growthpoint is currently the largest listed South African property company on the JSE with a market capitalisation in excess of R19 billion. 5 Rationale Growthpoint`s stated objective is to offer investors geographically and sectorally diversified exposure to physical property assets underpinned by long- term, sustainable, escalating income streams. The acquisitions will offer Growthpoint and its linked unitholders increased exposure to the Midrand and Rosebank office markets which are expected to provide attractive returns over the medium term especially considering the impact of the Gautrain rapid rail project and the proposed stations in both Midrand and Rosebank. 6 Related Party Transaction In terms of the Listing Requirements of the JSE, MTC and IPG are related parties to Growthpoint (collectively "the related parties") because, at the time of entering into the agreements, IPG was the appointed property administrator and property asset manager of Growthpoint and MTC is a wholly-owned subsidiary of IPG. Consequently, the acquisitions will be regarded as small related party transactions for Growthpoint. The acquisitions are exempt from providing a fair and reasonable opinion as the letting enterprises have been subject to a valuation in terms of the Listing Requirements of the JSE as set out below. 7 Valuation Roger Hunting ("valuer") acting on behalf of C B Richard Ellis performed a valuation on the letting enterprises, effective date being the 1st of October 2007. Based on the aforementioned the letting enterprises were valued at R122.4 million. The valuer`s confirmation of independence was received by the JSE in terms of the JSE Listing Requirements. The valuation report prepared by the valuer will lie open for inspection at Growthpoint`s registered office for a period of 28 days from the date of this announcement. 8 Property Specific Information Property Location Rentable Projected Purchas Effective Value as per area initial e price date valuer forward of
yield acquisition Aventis, Cnr. 7,909 m2 10,37% R64 430 Transfer R72,700,000 Midrand Grand 087 date Central Blvd. & K101, Midrand Erf 43 & Erf 44, Grand Central Ext 1 7 Sturdee 7 3,674 m2 8,75% R49 505 Transfer R49,700,000 Avenue, Sturdee 417 date Rosebank Avenue, Rosebank Erf R/E/132 & Erf 1/132, Rosebank Township 9 Financial Information The pro forma effect on the net assets and net tangible assets per linked unit due to the acquisitions as well as the profits attributable to the net assets acquired and subsequent effect on the historical and headline earnings per linked unit is not significant as per the JSE Listing Requirements. Investment Bank and Sponsor Investec Bank Limited Attorneys to Growthpoint Jowell Glyn & Marais 23 November 2007 Date: 23/11/2007 12:37:58 Supplied by www.sharenet.co.za Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited (`JSE`). The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on, information disseminated through SENS.
