PSPF BUYS 70% OF WOODLANDS CENTRE

  MBABANE – The Eswatini Competition Commission has approved the acquisition of 70 per cent shareholding by PSPF at Woodlands Shopping Centre for E55 million. 

The commission’s Acting Chief Executive Officer William Sukati explained that the commission considered the products of the merging firms and concluded that the Woodlands Shopping Centre was the relevant market itself as such the relevant market was the provision of commercial space in the Woodlands Shopping Centre in Eswatini.

“The market shares in the relevant market, market concentration, countervailing power and barriers to entry will not be affected by this transaction. The commission concluded that the transaction is unlikely to result in the substantial lessening or prevention of competition. The transaction was thus approved without conditions,” Sukati disclosed.

Acquiring

The acquiring party Public Service Pension Fund (PSPF), is a public organisation established in 1993 for the management and administration of pensions for Government (public sector) employees, and has its principle business address at sixth floor Ingcamu Building, Mhlambanyatsi Road, Mbabane.
PSFP as a pension fund is constituted by its members and directed by the Board of Directors.

Meanwhile, the target firm is Woodlands Shopping Centre, a company incorporated in accordance with the laws of the Kingdom of Eswatini. The shopping centre is wholly owned by the Eswatini National Housing Board (ENHB) a State owned entity established by the National Housing Board Act No. 3 of 1988 and has its principle business address at fifth floor Sibekelo Building No.2, Mbabane Office Park, Mhlambanyatsi Road, Mbabane.

Tasked

When reached for comment, PSPF Director Corporate Services Elkhan Makhanya said the transaction was being handled by Old Mutual whom they had tasked to find viable projects where the fund could invest in. Therefore, he referred all questions to Old Mutual.

Old Mutual Chief Executive Officer Muzi Bell disclosed that the transaction had been finalised and the share certificate has been issued. He explained that they found the investment viable after taking into account strategic location of the centre at Mbangweni.
“The centre has vast potential for growth when also taking into account that it also has land which could further be developed,” said Bell.

Development

The exact size of the arable land which could be utilised for further development could not be immediately ascertained by the time of going to press. No immediate comment could be sourced from Eswatini National Housing Board.       
It should be mentioned that other investments by PSPF include the Hilton Garden Inn and The Gables among others.

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