82 / 156
DIRECTORS’ REPORT
for the year ended 30 June 2015
The directors have pleasure in submitting their report, which forms part
of the financial statements for the year ended 30 June 2015.
Introduction
Hyprop, Africa’s leading specialist shopping centre Real Estate Investment
Trust (REIT), operates an internally managed portfolio of shopping centres
in major metropolitan areas across South Africa. Hyprop also has a
growing presence in sub-Saharan Africa (excluding SA), through a joint
venture with Attacq Limited (Attacq) and the Atterbury Group.
The core portfolio consists of premier shopping centres in South Africa,
including super regional Canal Walk, large regional centres, Clearwater
Mall, The Glen Shopping Centre, Woodlands Boulevard, CapeGate
Shopping Centre, Somerset Mall and Rosebank Mall, and regional centre,
Hyde Park Corner.
The portfolio also includes interests in Accra Mall and West Hills Mall
(both in Accra, Ghana), and Manda Hill Centre in Lusaka, Zambia.
Strategy
Hyprop’s focus remains to invest in high-quality shopping centres. Due
to limited acquisition opportunities in South Africa, consideration will be
given to investments in other emerging markets, where existing assets
can be acquired at attractive yields or where development opportunities
exist.
Disposals
As previously announced, CapeGate Lifestyle, CapeGate Value Centre
and Stoneridge were sold for a total amount of R833 million.
Efforts to sell Willowbridge Centre, Somerset Value Mart and the
standalone office portfolio are continuing.
Capital structure
Hyprop became a REIT on 1 July 2013. As part of the REIT conversion
process, Hyprop’s combined unit structure was converted to an all-share
structure. The necessary resolutions were passed by shareholders and the
new all-share structure became effective on 18 August 2014, from which
date all future distributions were classified as dividends.
All rental income earned by the group, less property expenses and interest
on debt, is distributed to shareholders semi-annually.
Review of activities
The results of the group and the company are commented on in the
chairman, chief executive officer and financial director’s reports on pages
6 to 15 and are set out in the financial statements on pages 82 to 151.
Directors’ interests
The interests of directors in the shares of the company at 30 June 2015 were:
30 June 2015
beneficial
30 June 2015
non-beneficial
30 June 2014
beneficial
30 June 2014
non-beneficial
Direct
Indirect
Indirect
Direct
Indirect
Indirect
Non-executive
Gavin Tipper
4 000
4 000
Louis Norval
3 789 869
3 981 768
Stewart Shaw-Taylor
21 500
21 500
Kevin Ellerine
42 666
Executive
Pieter Prinsloo
305 049
305 049
Laurence Cohen
160 154
160 154
25 500
507 869
3 789 869
25 500
465 203
3 981 768
There were no changes to the interests of the directors between year-end and the date of approval of the financial statements.
80
Hyprop Investments Limited
Integrated Report 2015
FINANCIAL STATEMENTS