Property giants set to merge
Two of South Africa's prominent commercial property companies are to merge and establish a sizeable, diverse commercial property fund with exceptional black economic empowerment (BEE) credentials.
The planned merger of Dipula Property Fund and Mergence Africa Property Fund will create a R1.4-billion property portfolio spanning a lettable area of about 320000 m² and serving more than 500 tenants throughout SA.
The country's first full-service, black-owned property services company, Dijalo Property Services, holds the majority stake of Dipula Property Fund.
Mergence Africa Holdings, an independent black-owned and black-managed financial services company, owns the controlling interest in Mergence Africa Property Fund. JSE-listed Redefine Properties owns a stake in both.
Saul Gumede, co-founder of Dijalo Property Services, and Izak Petersen of Mergence Africa Properties, are central to the merger.