Atterbury Europe and Pareto Limited, one of its significant shareholders, have agreed to a shareholder transaction in terms of which Pareto wishes to exchange part of its debt exposure in Atterbury Europe for a direct interest in the Mall of Cyprus and the Mall of Engomi.

Atterbury Europe was established in 2014 out of Atterbury Property South Africa. Through its subsidiary Atterbury Cyprus, it acquired The Mall of Cyprus and The Mall of Engomi from the Shacolas Group in 2015.

“For us it made sense for our geographical expansion into Europe in 2019, to joint venture with fellow South Africans already set up in Europe. With our direct investment into the Mall of Cyprus and Mall of Engomi now, we will essentially be replicating the model already well established at the Atterbury Europe level,” commented Pareto Limited’s CEO, Malose Kekana.

This transaction will deleverage Atterbury Europe’s balance sheet with The Mall of Cyprus and The Mall of Engomi benefitting from a strong ‘shareholder of reference’ in Pareto.

Although Atterbury Europe’s shareholding interest in the Mall of Cyprus and the Mall of Engomi will be diluted by the transaction to c. 30%, Atterbury Europe and the existing local management team will continue their hands-on management of the daily operations of the assets in close cooperation with their tenants and valued customers.

“This transaction enables us to do more in Cyprus, not less. We will continue to render property and asset management to the Mall of Cyprus and the Mall of Engomi. Therefore, we will continue our relationships with tenants, banks, and all other stakeholders of the companies and at the same time have a stronger balance sheet to support growth,” says Henk Deist, CEO of Atterbury Europe.

The board of directors of the Mall of Cyprus and Mall of Engomi have expressed their support for the proposed transaction and will convene an Extraordinary General Meeting on the 24^th of April 2024 to allow shareholders to vote on the proposed resolutions.