Fortress announces capitalisation share option to fund further property developments

FORTRESS Real Estate Investments has decided to offer shareholders the option of taking a capitalisation share of 87,90 cents per "B" share, or a cash dividend, with the capital retained to be used to fund the company's property development pipeline currently standing at about R2,9 billion.

- EDWARD WEST

The company said Friday in an announcement the "A" capitalisation share will be priced at a 3% discount to the volume weighted average price of a Fortress "B" share on the JSE for up to 30 days prior to the finalisation date of the capitalisation issue.

The aim is to afford eligible Fortress B shareholders the opportunity to increase their investment in Fortress, while providing the flexibility for those B shareholders wishing to rather take a cash dividend.