Johannesburg – Statutory managers appointed to conduct a review of embattled property syndication Sharemax said a number of interested parties had made offers for the group’s portfolio of shopping centres.
“There are a lot of interested parties making offers,” said Neels Alant, partner in law firm Hahn & Hahn which is conducting a review of Sharemax's business dealings. “These are commercial properties, which have a price,” he added.
In response to Fin24.com’s questions Alant also couldn't rule out listed property companies wading into the bidding, although initial indications is there had been no 'serious' offers.
Alant said most of the group's syndications were making money, and some of the properties were worth more than the amount for which they were syndicated.
“There are 34 entities under our management and we’ll be judging each independently (as to how investors will be refunded),” he said.
Bonatla Property group announced this month it was looking into buying R5bn worth of Sharemax properties in what would effectively be a reverse listing for Sharemax.
The group’s most recent syndications, The Villa and the Zambezi Mall will, however, not be included in any bail out - a blow to investors.
In August, Sharemax investors failed to receive their monthly dividend payments as funds dried up. These developments were consequently claimed by the developers.
Sharemax, led by CEO Willie Botha, has been selling shares in syndicates for 11 years, focusing especially on small shopping centres.
The South African Reserve Bank (Sarb) last week directed Sharemax and its 34 syndication companies to repay funds allegedly collected illegally from investors.
Alant said the statutory managers’ priority will be to support the completion of The Villa shopping centre. “The Villa will still need to be finished for investors to realise any value, it will be a real challenge,” he said.
Sharemax backers are mostly pensioners, who rely on the dividend income as their only income.
- Fin24
“There are a lot of interested parties making offers,” said Neels Alant, partner in law firm Hahn & Hahn which is conducting a review of Sharemax's business dealings. “These are commercial properties, which have a price,” he added.
In response to Fin24.com’s questions Alant also couldn't rule out listed property companies wading into the bidding, although initial indications is there had been no 'serious' offers.
Alant said most of the group's syndications were making money, and some of the properties were worth more than the amount for which they were syndicated.
“There are 34 entities under our management and we’ll be judging each independently (as to how investors will be refunded),” he said.
Bonatla Property group announced this month it was looking into buying R5bn worth of Sharemax properties in what would effectively be a reverse listing for Sharemax.
The group’s most recent syndications, The Villa and the Zambezi Mall will, however, not be included in any bail out - a blow to investors.
In August, Sharemax investors failed to receive their monthly dividend payments as funds dried up. These developments were consequently claimed by the developers.
Sharemax, led by CEO Willie Botha, has been selling shares in syndicates for 11 years, focusing especially on small shopping centres.
The South African Reserve Bank (Sarb) last week directed Sharemax and its 34 syndication companies to repay funds allegedly collected illegally from investors.
Alant said the statutory managers’ priority will be to support the completion of The Villa shopping centre. “The Villa will still need to be finished for investors to realise any value, it will be a real challenge,” he said.
Sharemax backers are mostly pensioners, who rely on the dividend income as their only income.
- Fin24