PPC sells 418 hectares in Harare for $27 million
By the AFREEQUE newsroom, based on Businessday
PPC has sold Arlington Estate, a 418-hectare property, in Harare for $27 million. The transaction generated $21.4 million net, paid as a dividend by its Zimbabwean subsidiary, in which PPC holds an 88% stake, according to Business Day.
PPC, the South African cement producer, has sold a 418-hectare property called Arlington Estate in Harare for $27 million. The group said on Tuesday that the transaction involved its subsidiary PPC Zimbabwe and that the vacant site, which has no limestone deposits, had no commercial use for its cement business, Business Day reports.
The sale generated $21.4 million net of transaction costs and taxes. PPC Zimbabwe then paid this amount as a dividend, of which PPC received $17.9 million, reflecting its 88% stake, or about 296.4 million rand.
The buyer is a private Zimbabwean company linked to property interests in the country. An earlier attempt to sell the property fell through after Transvaal Africa defaulted on a $30 million payment due before the end of June.
PPC recovered the property in December 2024, 14 years after it was seized by the Zimbabwean government. The group is due to publish its half-year results on 16 November; its gross operating profit rose by 40% in the five months to the end of August, with the margin increasing to 22.1%.
