The Competition Tribunal has unconditionally approved the merger whereby Redefine Properties acquires the rest of the Mall of the South in Johannesburg.
Last week, the Competition Commission approved the transaction where Redefine fully acquired the Mall of the South from joint-owner RMB Investment and Advisory (RMBIA).
The 67,000 sqm super-regional centre is 80%-owned by RMB Investment and Advisory (RMBIA) and 20% by Redefine.
The sale is a completion of terms between the two companies after the mall was acquired from Zenprop Properties in 2020.
In the 2020 purchase, RMB advanced a term and revolving facility to the maximum amount of R1.82 billion for the outright acquisition of the mall from Zenprop Property.
Under the acquisition, Redefine would provide property management services to the mall.
Furthermore, Redefine issued a put option (shares), whereby RMB would have the option to sell its shares in the mall to Redefine and put option (claims) to First Rand (RMB’s owner), whereby First Rand would havetheo right to sells its rights and obligations to Redefine.
RMB has since exercised this option, requiring Redefine to acquire the remaining 80% shareholding of the mall, operating as a going concern by Redefine from the date of acquisition.
Images of the Mall of the South can be found below: