Dipula

Investment Highlights

Black managed fund

External asset management

• Lower than average fee structure:
  • Annual fee of 0.3% of enterprise value
  • Fee cannot be amended without unitholder approval
  • No transaction fees
• Black-owned asset manager
• Assist in retaining BEE status of Dipula post listing

Advantages

• One of only two black-managed funds on the JSE
• Currently small exposure to government and parastatal tenants
• Procurement opportunities for tenants
• Opportunity to increase exposure through acquisitions from:
  • Black property owners looking to exit investments
  • Non-BEE -compliant listed funds

Proposed offer summary

Issuer - Dipula Income Fund Limited
Offer size - Offer of 98.2 million A-linked units and 98.2 million
B-linked units (in aggregate R1.4bn)
Offer price –
R7.60 per A-linked unit
R6.65 per B-linked unit
Listing location -"Real Estate" sector of Main board of the stock exchange operated by the JSE Limited ("JSE")
Free float ->80% on listing
Distribution structure - Private placement
Bookrunner - Java Capital Proprietary Limited
Timing -
Offer opens, 09:00: Monday, 18 July 2011
Offer closes, 12:00: Tuesday, 2 August 2011
Listing: Wednesday, 10 August 2011
Underwriter - Redefine Properties Limited (R860 million)