BDC DIVESTS FROM SOME OF ITS PROPERTIES THROUGH A NEWLY FORMED COMPANY, LETLOLE LA RONA LIMITED.

Botswana Development Corporation Limited (BDC) is proud to announce the formation of a new property Investment company, Letlole La Rona (LLR) Limited, which is expected to list on the Botswana Stock Exchange sometime this year. LLR will be engaged in property investment, development and management. It was incorporated as a public company according to the laws of Botswana on the 8th of July 2010 under Company Number CO 2010/6316.

LLR currently owns a number of Hotel, Commercial and Industrial properties which were transferred to it by Botswana Development Corporation Limited through its divestment policy recently. The properties were owned by BDC subsidiaries such as Botswana Hotel Development Company, Western Industrial Estates and Commercial Holdings. The properties include hotels, warehouses and factory shells among others. These properties are financially viable in terms of tenants and stable rental stream. This mix of properties also represent a diversified yet balanced portfolio of long term and short term rentals in the tourism, commercial and industrial sectors of the economy. All of them currently yield returns that are competitive and market related and it is projected that through LLR, they will continue to do the same.

LLR will be listed (its linked units) on the Botswana Stock Exchange (BSE) in the second quarter of this year, to enable a broad spectrum of Batswana to buy shares and meaningfully participate in the ownership of the property business portfolio in the country. Its investment policy is to maximize returns and create wealth for its share holders. Through its listing on the BSE, the investment will be liquid, and will be able to be bought and sold in a transparent market in the event that the investment is to be exited for whatever reason.

BDC’s property divestment is another empowerment move by the Corporation, following the recent sale of BDC shares in Cresta, which enabled a broader spectrum of Batswana to participate not only in ownership of BDC investments but also in the economy at large. The Corporation continuously reviews its portfolio with the view to divest from its mature investments while seeking new investment opportunities.