The retail-focused group also revealed that it had received Competition Tribunal approval to acquire 100% of Attfund.
The deal, however, remained conditional on, among other things, Hyprop unitholder approval and the implementation of the Attfund Retail restructure.
In terms of the of the original agreement between Hyprop and major Attfund Retail shareholders, about R6.048 billion of the offer consideration was to be discharged by the issue of 112 million Hyprop combined units at R54 per unit, while the balance was to be settled in cash.
Attfund Retail vendors were also required to place 50 million of the consideration units for cash on the basis that, if any of the units were not placed at a price of at least 54 rand per unit, Hyprop would either make up the difference in cash or repurchase the placement units in question at a price of R54 per unit.
In terms of the new arrangement, Hyprop, Attfund Retail and major Attfund Retail shareholders had agreed in principle to amend the agreement relating to the offer such that, while the aggregate offer consideration would remain unchanged, the number of consideration units would be reduced by 20 million combined units and the cash consideration would be increased by R1.080 billion.
The effect of the amendment was that R4.968 billion of the offer consideration would now be discharged by the issue of 92 million Hyprop combined units with the balance in cash.
The Attfund Retail vendors' requirement to place consideration units for cash had been reduced from 50 million units to 30 million units.
"The increased cash consideration is more dilutionary than the issue of consideration units in the short term, however it has the effect of increasing Hyprop's gearing to a level that the board feels is more optimal, enhancing growth going forward," the fund said.
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