Speaking last week during the group’s financial results for the year ended August 31, 2020, managing director Sandy Kelly said PrimeTime also has some capacity in its bond programme, which it will tap into for future capital.
"We do intend to raise some further equity as soon as the market is more conducive,” he said. “The group has offers under consideration from its lenders to obtain new funding and roll over some of the debt that is due within the next 12 months. “These are currently under consideration to determine which terms are most suitable for the group.”
The group has secured a facility of P70 million for one of its developments in progress and the drawdown is expected to commence in January 2021.
Of the P90 million PrimeTime is seeking, about P40 million of the raised capital will fund the extension of Boteko Junction in Serowe in which an additional 3,000 square metres and new retail space will be made, together with an upgrade of the existing centre. The remaining P50 million will be used for the development of the second phase of the Prime Plaza located in Gaborone at the group’s CBD office.
Kelly said the group has already acquired land for the next phase of the Prime Plaza and the development will ultimately add between P250 million to P300 million of the investment property to the portfolio. PrimeTime also plans to refurbish its South Ring Mall property.
"PrimeTime has a landmark of development opportunities, which the company will be able to exploit in the coming years," he said.
The group has issued a bond of P33 million in line with its domestic market note programme. At the request of the lenders, the group agreed to roll over two facilities with a combined balance of P12.7 million, which were due for repayment in November 2020.
