Pivotal Fund lifts full-year NAV by 25.3%

By Colleen Goko

Recently listed property group Pivotal Fund (PIV) on Wednesday reported a 25.3% rise in net asset value (NAV) per share to R18.40 for the year ended February 2015.

Pivotal listed on the main board of the JSE on December 8 2014. Before listing‚ Pivotal raised R1bn through a heavily oversubscribed private placement. Its current market cap is about R7.3bn compared with R5bn when it listed.

In the period under review‚ the company increased its portfolio to 40 — mainly in office- and retail-related properties. The fund also holds strategic land holdings near various Gautrain stations in Johannesburg and Pretoria‚ and has an extensive development pipeline. In its results‚ Pivotal said the bulk available for development increased to 445 000m² with an estimated value of R5.7bn on completion.

Looking ahead‚ the company said that‚ notwithstanding the challenging economic environment‚ it would strive to maintain an above-average growth rate in net asset value per share.

“We are pleased with the returns the portfolio has delivered over the last year. We acknowledge‚ however‚ that it is due to the culmination of several key developments”.

Pivotal said it remained focused on creating long-term value for its stakeholders through the successful completion of its existing developments and the roll-out of its development pipeline.

“Pivotal will continue to reinvest in its portfolio of income-producing properties to ensure delivery of sustainable growth.... Pivotal also plans to pursue opportunities to expand and diversify its investment portfolio by investing in selected international markets‚” the company said.

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