Emira Property Fund has invested 55.5 million (R1.1bn) in the Luxembourg-headquartered Polish property developer and investor DL Invest Group.
Emira has acquired a 25% initial stake in DL Invest Group, which has a gross asset value (GAV) of about 730m and a net asset value (NAV) prior to Emiras investment of some 278m. Emiras equity interest has a face value of 101.5m.
Emira, which currently has properties in SA and the US has also secured an option to acquire a further interest for 45.5m. If exercised, this second tranche will result in Emira holding 45% of DL Invest Group.
This initial shareholding will increase Emiras international investments to 32% of its portfolio with 19% in the US and 13% in Poland while 68% remains in South Africa, further strengthening its investment diversification.
Weve taken the time to find the right partner, and for us, this is the right way to enter this economy at the right time. This method of capitalising on opportunities in the growing Polish economy aligns with Emiras co-investment model, which the market is familiar with, where we mitigate risk as a minority partner with solid protections paired with an established local specialist seeking similar outcomes. This results in informed investment decisions and improved returns, said Emira Property Fund CEO Geoff Jennet.
