South African tycoon Stephen Brookes gains over $10 million from Balwin stake

South African real estate tycoon Stephen Brookes has added more than R173 million ($10.7 million) to the value of his stake in Balwin Properties over the past month, as investors responded positively to a proposed buyout that could see the company leave the public market. 

Data tracked by Shore.Africa shows that the value of Brookes’ direct holding in the Johannesburg-based residential developer rose sharply following a surge in the company’s share price. The rally was sparked by a R2.26 billion ($139.4 million) management-led buyout proposal that would result in Balwin’s delisting from the Johannesburg Stock Exchange (JSE). 

Brookes, founder and chief executive officer of Balwin Properties, owns 171.75 million shares, representing a 33.07 percent stake in the company. The value of that holding has increased from R547.89 million ($33.8 million) on April 29 to R721.36 million ($44.5 million), strengthening his position among South Africa’s wealthiest business leaders.

Shares climb on buyout proposal 

Balwin’s share price has risen more than 30 percent over the past four weeks, climbing from R3.19 ($0.19) to R4.20 ($0.26). The increase has lifted the company’s market value to about R2.18 billion ($134.5 million). 

The gains follow the announcement of a transaction that would take the company private. A consortium led by the Public Investment Corporation (PIC), South Africa’s largest state-owned asset manager, alongside Balwin’s founding executives, has offered R4.35 ($0.26) per share for the remaining stock it does not already own. 

The offer, submitted through K2025746588 (South Africa) Proprietary Limited, known as Bidco, represents a major step toward removing Balwin from both the JSE and A2X. If approved by shareholders, Bidco could acquire as many as 258.2 million shares, giving it full control of the company. 

Upon completion of the transaction, Balwin will become a wholly owned private company and cease to be publicly listed.

Earnings improve as housing demand recovers 

The proposed buyout comes as Balwin reports stronger financial performance, supported by easing borrowing costs and improving affordability for homebuyers. 

For the fiscal year ended February 28, 2026, the company reported revenue of R2.7 billion ($166.1 million), up 21 percent from R2.22 billion ($137 million) a year earlier. Annual profit increased to R254.5 million ($15.7 million) from R234.02 million ($14.44 million), while earnings per share rose 5 percent to R0.524 ($0.03). 

Apartment sales reached R2.4 billion ($147.8 million) during the financial year, helped by a 17 percent increase in apartment handovers to 2,053 units, compared with 1,749 units a year earlier. 

The company said strong demand has continued into the new financial year. Balwin sold 1,026 apartments during March and April 2026 and had 1,278 apartments already forward sold at the reporting date. 

Balwin’s balance sheet also showed modest growth. Total assets increased 4.37 percent to R8.44 billion ($514.35 million) from R8.09 billion ($492.86 million), while retained income rose 7.74 percent to R3.77 billion ($229.65 million) from R3.5 billion ($213.14 million). 

The results suggest South Africa’s residential property market may be finding firmer footing after several years of pressure from high interest rates, elevated inflation and sluggish economic growth.

Brookes built Balwin into major developer 

Founded in 1996, Balwin Properties has grown into one of South Africa’s largest residential developers, focusing on large lifestyle estates aimed at low- and middle-income households. 

Brookes established the company and has served as chief executive since 2003. Before launching Balwin, he completed an apprenticeship with Group Five, worked as a civil engineer at Eskom and later served as a project manager at Matrix Projects. 

Over three decades, he has overseen Balwin’s expansion from a small property business into one of the country’s best-known residential development companies, delivering thousands of homes across South Africa.