Ardor SA secures R359m in funding

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Published Jan 9, 2013

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New property development company‚ Ardor SA (ARD)‚ announced on Wednesday that it was still in the process of securing cash from various subscribers in order to provide guarantees to enable the transfer of various properties to Ardor.

Ardor - formerly Decillon Limited - is planning a reverse listing on the JSE.

Ardor has recently secured an additional R359 million from a European based private equity investment company.

“The investment company confirmed that it is in the process of finalising its banking processes in order to make the investment. The receipt of the investment is expected within the next 14 days‚” Ardor said in a note.

On receipt of the investment Ardor will proceed to acquire the minimum portfolio and unsuspend the trade in the shares of the company on the JSE.

The listing remains subject to the transfer of the minimum portfolio.

Following the recent announcement of the new proposed tax legislation for Real Estate Investment Trusts (REITs)‚ Ardor has decided to obtain advice to establish the benefits of having the company classified as a REIT.

The salient dates for the issue and listing of the new shares in Ardor to be allotted and issued pursuant to the acquisition of the minimum portfolio will be announced once the transfer of the minimum portfolio has been finalised‚ it added.

Investors and/or shareholders are permitted to continue to subscribe for shares up to the date of the listing of the securities to be allotted and issued pursuant to the acquisition of the minimum portfolio.

The company has received interest well in excess of the R360 million minimum subscription .

The board still has to finalise negotiations in respect of these subscriptions.

The company will keep shareholders informed of progress made‚ the final results of the subscription and new salient dates.

Due to the revival negotiations previously announced and the requirement for the minimum portfolio to be transferred to the company ahead of the reverse listing of Ardor‚ shareholders were advised to continue to exercise caution when dealing in their shares until a further announcement is made. - I-Net Bridge

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