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Hyprop Investments Limited. JSE: HYP

Hyprop shares

Background of Hyprop

  • Hyprop Investments Limited is one of Africa’s leading specialist retail property Real Estate Investment Trusts, operating an internally-managed portfolio of shopping centres in major metro areas in sub-Saharan Africa and south Eastern Europe. The company was established in 1987 and Hyprop shares were listed on the Johannesburg Stock Exchange (JSE) a year later.

  • The group’s core portfolio comprises premier shopping centres in South Africa such as Canal Walk, the Clearwater Mall, Woodlands Boulevard, The Glen Shopping Centre, Rosebank Mall, CapeGate Shopping Centre and Hyde Park Corner. Properties cater mainly to middle and high-income consumers. Hyprop also owns three office properties. Properties in South Africa comprise 85% of asset value at R25 billion.

  • Hyprop has entered into sub-Saharan Africa through a joint venture Attacq Limited and the Atterbury Group, owning stakes in two malls in Ghana, one in Zambia and one in Nigeria. The company also decided to buy into the South Eastern European market in February 2016 with the purchase of a 60% interest in two malls in Montenegro and Serbia. Hyprop Investments has a JSE market cap of R30 billion, with Hyprop share price enjoying a history of good performance on the bourse.

Hyprop Shares Growth Driver

  • Hyprop aims to drive growth and investment value through attracting a mix of flagship national and international tenants to retail centres in metropolitan areas with high footfall. Hyprop has a strong core portfolio in South Africa, and increasing focus has been placed on expanding into the rest of Africa, while putting underperforming properties up for sale. The group’s most recent acquisition was a 75% stake in the Ikeja City Mall in Lagos in November 2015. Including amounts invested to date, R5 billion has been approved to buy stakes in other retail centres in African countries outside South Africa. Several opportunities are being explored, including some in Kenya.

  • For the 2015 year, the company incurred a loss of US$115.1 million, compared to a loss of US$37.9 million the previous year. In addition to the deteriorating coal prices, closure of ferrochrome, ferroalloy, copper and cobalt operations in the SADC region further worsened market performance and Hwange Colliery share price. Liquidity challenges also made it difficult for Hwange to secure critically required working capital and take advantage of rand declines against the US Dollar. Revenue was further impacted by low production and sales volumes due to persistent breakdowns of major mining equipment. The company’s liabilities totalled $287 million, with some creditors now taking legal action against Hwange.

  • The international expansion into Europe is in line with Hyprop’s strategy of acquiring or developing high-quality shopping centres in emerging markets, and provides investors with a rand hedge buy. Hyprop’s data for the last six months of 2015 was impressive. Through a number of new acquisitions, asset value increased from R28 billion to R33 billion. Continual upgrades and extensions ensure that the core portfolio in South Africa remains of a high quality. For the 2016 financial year, R180 million has been set aside for refurbishments, with a further R93 million earmarked for equipment replacement.

  • Hyprop achieved a profit of R1.94 billion for the period, a significant improvement from the R1.3 billion earned the previous year. In addition to strong growth from local shopping centres, the group also benefitted from exchange rate gains at its international assets.

Hyprop Investor Tip

  • Overall, Hyprop’s dominant shopping malls and defensive strategy have helped it withstand the effects of a weak economy. Shareholders enjoyed growth in dividends of 13.4% in the second half of 2015. The live online JSE stocks chart illustrates a steady rise in Hyprop share price, a trend which many investment analysts predict will continue. Hyprop shares are generally regarded as a rock solid buy with good long-term investment prospects.

Hyprop Major Shareholders

Government Employees Pension Fund, Stanlib, Investec Asset Management.

  • Sector

    Financials

  • Industry

    Real Estate

  • Sub industry

    Real Estate Owners & Developers

How to buy Hyprop Shares

  • Hyprop : How to buy Hyprop Shares Online

    We have made it simple to buy JSE listed firm shares online. The easiest way to buy Hyprop shares or stocks is to; start by submitting the ‘BUY THIS SHARE’ form. Next, one of our experienced and certified stock brokers will personally get in contact with you to discuss your custom stock request. Finally, a stock advisor will confirm the amount of shares you are looking to invest in Hyprop and assist you with the setup and management of your stock portfolio account.

  • Here are the steps you must follow to Buy / Purchase Hyprop shares with utmost confidence:

    1. Start by Filling in the BUY THIS SHARE form.
    2. Insert your name, email, telephone number and monthly remuneration.
    3. Then, Indicate the amount you are looking to invest in Hyprop.
    4. Click the “ INVEST NOW” button
    5. Once we have received your info, a dedicated stock advisor will personally call you back to discuss your personal share request.
    6. Lastly, your newly appointed personal stock advisor will handle all account setups and reporting as stipulated by the financial services board of South Africa (FSB)
  • Buy Shares with Confidence

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<a href="https://www.sashares.co.za/hyprop-shares">Credits: SA Shares™</a>
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