Hosken Consolidated Investments to sell Kalahari Mall for $48.6 million

Hosken Consolidated Investments Limited (HCI), the Johannesburg-listed diversified investment holding company led by Johnny Copelyn, has agreed to sell the Kalahari Mall retail enterprise in Upington for R800 million ($48.6 million) in a move aimed at reducing debt and unlocking value for shareholders.

The transaction will be executed through Kalahari Village Mall Proprietary Limited, a subsidiary that holds a 90-year notarial lease granting the rights to operate the retail complex. The buyer in the transaction is NAD Property Income Fund Proprietary Limited.

Strategic disposal of key retail asset
Under the agreement, Kalahari Village Mall will transfer its rights, title and interest in the mall’s rental enterprise to NAD Property Income Fund for a total purchase consideration of R800 million ($48.6 million), inclusive of VAT at zero percent.

Located in Upington in South Africa’s Northern Cape, Kalahari Mall is one of the region’s primary retail destinations, hosting a range of national and regional retailers serving surrounding communities and the wider regional trade corridor. The transaction remains subject to several conditions precedent, including approval from South Africa’s competition authorities. Once these approvals are secured, the parties will proceed to the final completion of the sale.

Proceeds to support debt reduction
Proceeds from the disposal will primarily be used to settle tax obligations and repay outstanding debt held by Kalahari Village Mall. As of the announcement date, the subsidiary carried approximately R249 million($15.14 million) in debt funding owed to its lenders.

After settling these obligations, the remaining proceeds will be distributed to shareholders of the subsidiary, including Hosken Consolidated Investments, which holds an effective 64.78% interest. The company said the transaction does not meet the thresholds requiring mandatory disclosure under JSE Listings Requirements, and is therefore being disclosed voluntarily to keep investors informed.

Portfolio repositioning
Founded by a consortium of South African investors led by Johnny Copelyn, Hosken Consolidated Investments (HCI) has evolved into a leading diversified investment holding company with interests spanning gaming, hospitality, media, transport, and energy. Under Copelyn’s stewardship, HCI has consistently prioritized disciplined capital allocation and long-term value creation for shareholders.

The group holds significant stakes in prominent listed and private businesses, including Tsogo Sun (49.7%), Southern Sun (40.8%), eMedia Holdings (80.3%), Frontier Transport Holdings, owner of Golden Arrow Bus Services (82.1%), and Impact Oil and Gas (49%). For HCI, the divestment reflects a continued effort to optimize its portfolio of investments across sectors including gaming, media, property and transport.

By unlocking capital from the Kalahari Mall asset, the group is expected to strengthen its balance sheet while creating room for potential redeployment of capital into higher-growth opportunities across its diversified portfolio.