Real Estate Investor Magazine South Africa October 2016 | Page 46

LISTED PROPERTY FUNDS

Need funds for your

Property Portfolio?
Listing on the Stock Exchange
BY JACQUES MAGLIOLO

A

fter 16 years as corporate strategist and
advisor to multinationals around the world,
I repeatedly get the same response when I
suggest that clients should “Stop messing around with
private investors and just list your business.”
Their reaction is often “My business is too small” or
“Are you crazy – nobody would want my shares.”
Both reactions are naïve and simply not true.
To raise capital from private equity, for that matter,
takes as long as it does to list. And you have to jump
through as many hoops. The difference is that once
your business is listed, you have access to a market
through shares, whereas private equity will make you
jump with every new funding you want.
So, it may take six months to list your property
portfolio, but it will be the answer to your current and
future funding headaches.
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OCTOBER 2016 SA Real Estate Investor

The Four Phases of Listings

The first step in the process is to appoint a corporate
advisor to prepare your business for a listing, which
coincidentally will professional your skills, business
and corporate structure so that if you ultimately
decide not to list, you will find that your corporate
governance will attract business from the international
market.
So, get yourself a corporate advisor to guide you
step-by-step through the four phases to prepare you
for a listing.

The First phase is for the advisor to conduct

thorough due diligence. The aim is to determine how
your business compares to global and regional best
practice. As such, research is conducted on, among
other:
• Global, Regional and South African industry,
market and similar companies to analyse your
competitors, which enables your advisor to
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