Afine believes markets will be receptive to the low-risk investment amid struggling retail and office real estate.
Afine Investments shares began trading on the Johannesburg Stock Exchange’s (JSE) Alternative Exchange’s (AltX) REIT sector on 9 December.
Afine, which owns seven petrol filling station properties located in four of South Africa’s nine provinces, has floated 64 million shares through this primary listing on the AltX.
Afine chairman Mike Watters said the founders and directors of the company are delighted to be listing the first South African REIT specialising in petrol filling stations. “With the traditional real estate sectors such as offices and retail suffering from significant consumer behavioural changes, we believe the market will be very receptive to the low risk, inflation protected, long-term cash flows that Afine will offer.”
Moreover, he explains that, by combining the skills of the initial investors (highly regarded REIT executives sharing over three decades of listed company experience), with the industry skills of the Petroland Group, suggests that the growth potential for Afine to successfully expand its initial portfolio is significant.
Following the listing of Afine, AltX’s REITs segment has five listed companies with more than R4.9 billion market capitalisation.