Another company spending R122 million to delist from the JSE after 38 years
Putprop has announced plans to repurchase all of its issued shares and delist from the Johannesburg Stock Exchange (JSE) due to the high costs and administrative requirements of a listing.
The company announced its intention on the Stock Exchange News Service (SENS) on 16 October 2026.
The deal will see Putprop repurchase its shares from existing stakeholders for a cash price of R9 per ordinary share, with the total transaction worth roughly R121.9 million.
Once the repurchase deal has been completed, Putprop said it would delist from the JSE, after 38 years on the bourse.
“Subsequent to the Scheme being implemented, Putprop’s ordinary shares are to be delisted from the Main Board of the JSE,” the company said.
The firm intention announcement follows the company’s cautionary announcement at the end of September 2026.
Putprop was first listed on the JSE in 1988 as a property investment company, and today holds 13 properties in its portfolio.
Its portfolio is spread across three provinces, with exposure to several sectors, including retail, residential, commercial, and industrial properties.
On its website, the company describes its investment approach as conservative but concedes that the property investment landscape is changing.
“While Putprop has historically adopted a conservative investment approach, the Board and management recognise that the listed property environment is evolving and that adaptability will be key to long-term relevance and performance,” the company said.
It said that the appointment of Darryl Meyers as CEO at the start of 2026 marked an important step towards changing the group’s investment philosophy.
“Without deviating from the Group’s disciplined investment philosophy, management intends to place greater emphasis on active asset management, capital allocation efficiency and the selective pursuit of opportunities that enhance portfolio quality and earnings durability,” Putprop said on its website.
Reasons for delisting
In its recent SENS announcement, Putprop said that its delisting was due to a lack of trading activity in its shares.
The company said it had “considered the benefits that the listing delivers to Shareholders against the costs and the administrative burden of maintaining it, and has concluded that Putprop no longer warrants a listing on the JSE.”
It said its shares had been “materially illiquid” with only 0.39% of its shares being traded in the 90 days before it issued a cautionary announcement.
The company also noted the high costs of having a listing on the JSE, which is roughly R5 million per year for the group.
The recurring costs attributable to Putprop’s listing amount to approximately R5 million per annum, which is disproportionate to Putprop’s market capitalisation of approximately R191.67 million as at 29 September 2026,” it said.
The company also cited administrative delays and recurring costs of transactions required by the bourse as reasons for delisting.
“Transactions that would ordinarily be concluded on commercial timeframes instead require a circular to Shareholders, an independent expert, a notice period and JSE review, with the associated cost and delay incurred whether or not the transaction proceeds,” it said.
“The Board is accordingly of the opinion that the Scheme affords Participating Shareholders an opportunity, which is not otherwise available to them, to realise their entire holding in cash”.
The repurchase price of R9 per share is a 99.1% premium over the company’s ordinary share price as of 29 September, of R4.52.
Putprop noted that the repurchase transaction is of the company’s gross cash dividend of 8.5 cents per share.
It added that it would not “declare or pay any further dividend or other distribution in respect of the Putprop ordinary shares prior to the Long Stop Date” on 1 February 2027.
The intended transaction remains subject to regulatory approval from bodies, including the JSE and other regulatory authorities.
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