REG-Grit Real Estate Income Group ABRIDGED UNAUDITED CONSOLIDATED RESULTS FOR THE SIX AND TWELVE MONTHS ENDED 30 JUNE 2025
12/08/2025 09:00
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Grit Real Estate Income Group (GR1T)
ABRIDGED UNAUDITED CONSOLIDATED RESULTS FOR THE SIX AND TWELVE MONTHS ENDED 30 JUNE 2025
12-Aug-2025 / 09:00 GMT/BST
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GRIT REAL ESTATE INCOME GROUP LIMITED
(Registered in Guernsey)
(Registration number: 68739)
LSE share code: GR1T
SEM share codes (dual currency trading): DEL.N0000 (USD) / DEL.C0000 (MUR)
ISIN: GG00BMDHST63
LEI: 21380084LCGHJRS8CN05
("Grit" or the "Company" or the "Group")
ABRIDGED UNAUDITED CONSOLIDATED RESULTS FOR THE SIX AND TWELVE MONTHS ENDED 30 JUNE 2025
Grit Real Estate Income Group Limited, a leading Pan-African real estate company focused on investing in, developing
and actively managing a diversified portfolio of assets underpinned by predominantly US Dollar and Euro denominated
long-term leases with high quality multi-national tenants, today announces its unaudited results for the six and
twelve months ended 30 June 2025.
Bronwyn Knight, Chief Executive Officer of Grit Real Estate Income Group Limited, commented:
“Grit’s performance reflects persistent macroeconomic headwinds, particularly policy changes in the United States that
have triggered capital outflows from emerging markets. These shifts have tightened liquidity conditions and disrupted
demand-supply dynamics across the continent, prompting a widespread reassessment of real estate valuations and
exerting downward pressure on distributable earnings.
Investor sentiment remained cautious, with subdued appetite widening bid-ask spreads and delaying the Group’s asset
recycling programme. Elevated finance costs further constrained free cash flow, contributing to covenant-related
liquidity pressures.
Despite these headwinds, Grit remains focused on repositioning the portfolio toward more defensive, higher-yielding
asset classes such as diplomatic housing, data centres, light industrial and logistics, and Business Process
Outsourcing (BPO) infrastructure, supported by strong tenant demand and long-term sovereign-grade leases.
The Group continues to deliver against key performance indicators within its control by actively mitigating exogenous
factors to support long-term sustainability, while acknowledging the impact of valuation pressures and constrained
distributable earnings in the short term.
It is especially encouraging to note that several initiatives introduced in prior reporting periods are increasingly
delivering tangible results. These include a reduction in administration expenses, the maintenance of a long lease
profile, strong contractual rental collections and increased portfolio occupancy.
Looking ahead, our diversified footprint - both geographically and across asset classes - continues to position the
portfolio defensively, with a substantial portion of income secured through long-term hard currency leases. This solid
foundation enables Grit to provide a degree of income stability in an otherwise volatile capital environment, while
addressing balance sheet constraints through disciplined capital recycling and asset management initiatives.”
Financial and Portfolio highlights
Six months Six months Twelve months Twelve months
ended ended Increase/ ended ended Increase/
Decrease Decrease
30 June 2025 30 June 2024 30 June 2025 30 June 2024
Property portfolio net operating income US$29.1m US$31.3m -7.1% US$64.2m US$63.5m +1.1%
(proportionate8)
EPRA cost ratio (including associates) 2 17.0% 12.7% +4.3% 15.6% 13.3% +2.3%
Net finance costs US$29.9m US$27.1m +10.3% US$59.8m US$48.7m +22.8%
Weighted cost of debt 9.3% 9.4% -0.1% 9.4% 10.0% -0.6%
Revenue earned from multinational tenants6 84.7% 85.4% -0.7% 84.7% 85.4% -0.7%
Income produced in hard currency7 91.7% 94.3% -2.6% 91.7% 94.3% -2.6%
As at 30 June 2025 As at 30 June 2024 Increase/ Decrease
EPRA NRV per share1 US$48.4cps US$57.9cps -US$9.5cps
IFRS NAV per share US$35.5cps US$43.9cps -US$8.4cps
Total Income Producing Assets3 US$988.8m US$971.2m +US$17.6m
Contractual rental collected 91.3% 91.1% +0.2%
WALE4 4.6 years 5.2 years -0.6 years
EPRA portfolio occupancy rate5 92.0% 89.8% +2.2%
Grit proportionately owned lettable area (“GLA”) 361,941m2 356,036m2 +5,905m2
Weighted average annual contracted rent escalations 2.9% 2.8% +0.1%
Notes
1 Explanations of how EPRA figures and Distributable earnings per share are derived from IFRS are shown in note 16.
2 Based on EPRA cost to income ratio calculation methodology which includes the proportionately consolidated effects
of associates and joint ventures.
Includes controlled Investment properties with Subsidiaries, Investment Property owned by Joint Ventures, deposits
3 paid on Investment properties and other investments, property plant and equipment, intangibles, and related party
loans.
4 Weighted average lease expiry (“WALE”).
5 Property occupancy rate based on EPRA calculation methodology - Includes joint ventures.
6 Forbes 2000, Other Global and pan African tenants.
7 Hard (US$ and EUR) or pegged currency rental income.
Property net operating income (“NOI”) is an Alternative Performance Measure (“APM”) and is derived from IFRS revenue
8 and NOI adjusted for the results of joint ventures. A full reconciliation is provided in the financial review
section below.
Summarised results commentary:
The sustained high interest rate environment continued to weigh on African real estate markets, dampening investor
appetite and constraining asset pricing negotiations. Elevated inflation added further pressure on consumers,
contributing to broad-based valuation headwinds across the sector.
For Grit, the elevated cost of capital delayed progress on its asset disposal programme, while increased finance costs
and downward property revaluations placed strain on covenant metrics - most notably the Group’s interest cover ratio.
While funder support remains intact, the Group is actively evaluating strategic options to optimise its capital
structure and establish a more resilient, liquid, and growth-oriented platform.
As a result, and as previously guided, the Group adopted a prudent approach to business operations, prioritising
tenant retention and lease security amid a slowdown in corporate expansion. The Group continues to benefit from its
quality portfolio with leading ESG credentials, increasing portfolio occupancy for the six months ended 30 June 2025
by 2.2% to 92.0% year-on-year, with 91.7% of income produced in US dollar, Euro or pegged currencies. 84.7% of revenue
is earned from multinational tenants (30 June 2024: 85.4%).
In the context of the current operating environment, the Group balanced longer-term lease renewals with reversionary
rates, maintaining a weighted average lease profile of 4.6 years (30 June 2024: 5.2 years). Strong focus on
contractual rental collections was maintained, with an average collection rate of 91.3%, a 0.2% increase on the prior
year comparative period.
The Group’s strategic pivot toward more defensive, higher-yielding asset classes - including Business Process
Outsourcing (BPO) infrastructure, data centres, light industrial and logistics facilities, and diplomatic housing -
was tempered by constrained access to development capital, despite a robust committed pipeline and strong co-investor
support.
Nevertheless, during the review period, Grit advanced its sector-focused development strategy through the
establishment of Africa’s largest embassy accommodation platform. The consolidated entity, DH Africa, represents a
scaled and specialist vehicle designed to better serve diplomatic clients, including the US Government and other
sovereign stakeholders.
This enhanced platform not only expands Grit’s exposure to resilient, income-generating assets but also unlocks
additional revenue streams through development fees and asset management income.
Property values, based on Grit’s proportionate share of the total portfolio, including joint ventures, contracted by
1.8% over the 12-month period ended 30 June 2025 to US$857.6 million (30 June 2024: US$873.0 million). The reduction
was primarily as a result of negative fair value adjustments of US$43.8 million, a 5.0% decrease, offset by positive
foreign currency movements of US$14.9 million and the consolidation of Rosslyn Grove diplomatic housing (DH3)
development in Kenya.
The Group’s proportionate Property Portfolio Net Operating Income (NOI) declined by 7.1% over the comparative
six-month period to 30 June 2025, but recorded a 1.1% increase over the 12-month period ended 30 June 2025. This
year-on-year increase was offset by a US$9.6 million impact as a result of changes in non-controlling interests,
stemming from the June 2024 disposal of Bora Africa Group to Gateway Real Estate Africa Limited (“GREA”), reducing
Grit’s effective ownership from 100% to 53.24%. NOI came under further pressure as a result of rental reversions to
secure key long-term lease renewals and lease concessions granted, particularly within the retail sector.
For the six months to 30 June 2025, EPRA net reinstatement value (“NRV”) declined by US$9.5 cents per share to US$48.4
cents per share (30 June 2024: US$57.9 cents per share), mainly due to the decrease in the fair value adjustment made
on investment properties during the period. This follows continued downward pressure on market rental rates as a
result of rising inflation and unemployment, increased import duties and consumer pressure. This material contraction
reflects broader valuation headwinds across African real estate markets, especially retail, and signals continued NAV
pressure amid persistent inflation and global interest rate volatility
The IFRS NAV concomitantly contracted meaningfully over the reporting period, reflecting the broader valuation
pressures across African real estate markets. As at 30 June 2025, IFRS NRV declined to US$35.5 cents per share, down
from US$43.9 cents per share in the prior year.
Despite these valuation challenges, Grit’s NRV remains underpinned by a portfolio of income-producing assets valued at
US$988.8 million, with 91.7% of revenue earned in hard or pegged currencies and 84.7% derived from multinational
tenants. The Group’s disciplined approach to capital recycling, lease renewals, and cost containment has helped
mitigate the impact of external pressures, while its strategic pivot toward defensive asset classes and
sovereign-grade leases provides a foundation for long-term value recovery.
During the twelve-month period ended 30 June 2025, administrative expenses reported under IFRS declined by 1.4%
year-on-year, despite the full-year consolidation of costs from the Group’s project development arm Africa Property
Development Managers Limited (“APDM”), totalling US$4.0 million. Excluding the consolidation of APDM, underlying
administrative expenses decreased by 13.9% year-on-year, reflecting improved operational efficiency.
For the six-month period ended 30 June 2025, administrative expenses under IFRS fell by 9.7% year-on-year. Adjusting
for APDM-related costs, the decline was even more pronounced at 21.6%, highlighting the tangible impact of the Group’s
targeted savings initiatives.
Administrative expenses as a percentage of total income-producing assets reduced to 1.26% for the six months ended 30
June 2025, down from 1.63% for the prior comparable period. This is closely aligned with the Group’s near-term target
of 1.25%
The weighted average cost of debt for the Group, reduced to 9.41% at 30 June 2025, down from 10.00% in the prior
12-month comparative period. For this period, finance charges increased by 20.8% mainly due to the full twelve- month
impact of finance costs associated with the acquisition of GREA (the comparative period reflected a seven- month
impact following GREA’s consolidation on 30 November 2023. Despite higher borrowings, the impact was partially
mitigated by marginal reductions in global interest rates and the strategic use of interest rate derivatives.
During the six-month period ended 30 June 2025, finance charges increased by 3.3% versus the comparable period,
primarily due to increased borrowings.
FOR FURTHER INFORMATION, PLEASE CONTACT:
Grit Real Estate Income Group Limited
Bronwyn Knight, Chief Executive Officer +230 269 7090
Morne Reinders, Investor Relations +27 82 480 4541
Cavendish Capital Markets Limited – UK Financial Adviser
Tunga Chigovanyika/ Edward Whiley (Corporate Finance) +44 20 7220 5000
Justin Zawoda-Martin / Daniel Balabanoff / Pauline Tribe (Sales) +44 20 3772 4697
Perigeum Capital Ltd – SEM Authorised Representative and Sponsor
Shamin A. Sookia +230 402 0894
Darren M. Chinasamy +230 402 0885
Capital Markets Brokers Ltd – Mauritian Sponsoring Broker
Elodie Lan Hun Kuen +230 402 0280
NOTES:
Grit Real Estate Income Group Limited is the leading Pan-African real estate company focused on investing in,
developing and actively managing a diversified portfolio of assets in carefully selected African countries (excluding
South Africa). These high-quality assets are underpinned by predominantly US$ and Euro denominated long-term leases
with a wide range of blue-chip multi-national tenant covenants across a diverse range of robust property sectors. The
Company is committed to delivering strong and sustainable income for shareholders, with the potential for income and
capital growth. The Company holds its primary listing on the Main Market of the London Stock Exchange (LSE: GR1T and a
secondary listing on the Stock Exchange of Mauritius (SEM: DEL.N0000).
Further information on the Company is available at www.grit.group.
Directors:
Peter Todd (Chairman), Bronwyn Knight (Chief Executive Officer) *, Gareth Schnehage (Chief Financial Officer) *, David
Love+, Catherine McIlraith+, Cross Kgosidiile, Lynette Finlay + and Nigel Nunoo+.
(* Executive Director) (+ independent Non-Executive Director)
Company secretary: Intercontinental Fund Services Limited
Corporate service provider: Mourant Governance Services (Guernsey) Limited
Registered office address: PO Box 186, Royal Chambers, St Julian's Avenue, St Peter Port, Guernsey GY1 4HP
Registrar and transfer agent (Mauritius): Onelink Ltd
SEM authorised representative and sponsor: Perigeum Capital Ltd
UK Transfer secretary: MUFG Corporate Markets
Mauritian Sponsoring Broker: Capital Markets Brokers Ltd
This notice is issued pursuant to the FCA Listing Rules, SEM Listing Rules 15.24 and 15.44 and the Mauritian
Securities Act 2005. The Board of the Company accepts full responsibility for the accuracy of the information
contained in this communiqué.
A presentation of these results will be made available on the Company website:
1 https://grit.group/investor-relations/
CHAIRMAN’S STATEMENT
Grit is a leading, woman-led real estate platform, delivering property investment and associated real estate services
across Africa. Since its founding in 2014, the Group has pioneering forward-thinking investment models and strategic
alliances that extend beyond conventional real estate approaches. Through an unwavering commitment to social impact,
energy efficiency, and carbon reduction, it has actively shaped the built environment with a long-term vision for
sustainability across its portfolio.
The year under review was marked by heightened macroeconomic uncertainty across the African continent, driven by
global policy shifts, inflationary pressures, and constrained liquidity conditions.
Against this backdrop, the Group continued to execute its Grit 2.0 strategy, prioritising capital recycling,
operational efficiency, and a pivot toward defensive, income-generating asset classes. Our strategic focus on
sovereign-grade leases and hard currency income streams has proven instrumental in navigating valuation headwinds and
sustaining portfolio resilience.
The successful consolidation of DH Africa and the creation of the continent’s largest embassy accommodation platform
mark a significant milestone in Grit’s evolution. This transaction not only deepens our sectoral expertise but also
enhances scale, income diversity, and long-term alignment with diplomatic and sovereign clients.
Financial and operational performance
Grit’s financial performance for the year reflects the impact of valuation pressures and constrained distributable
earnings. EPRA Net Reinstatement Value (NRV) contracted by 16.4% to US$48.4 cents per share, primarily due to negative
fair value adjustments of US$43.8 million across the portfolio. IFRS NRV declined to US$35.5 cents per share,
underscoring the broader reassessment of real estate values across the continent, particularly within the retail
sector.
Despite these challenges, operational metrics remain robust. EPRA portfolio occupancy improved to 92.0%, supported by
tenanting initiatives in Kenya and Mauritius. Contractual rental collections increased to 91.3%, while 91.7% of
revenue was earned in hard or pegged currencies. Administrative expenses declined by 13.9% year-on-year on a
like-for-like basis, reflecting the tangible impact of cost containment initiatives and strategic outsourcing.
Capital recycling and debt reduction
The Group remains firmly committed to its accelerated strategy to reduce debt and optimise the balance sheet. During
the period, US$200 million in non-core assets were identified for disposal, with advanced negotiations underway for
key divestments including Tamassa Lux Resort and Artemis Curepipe Hospital. Proceeds from these disposals will be
strategically redeployed into higher-yielding, more defensive investments.
The weighted average cost of debt reduced to 9.41%, down from 10.27% in the prior year, supported by proactive
interest rate hedging and refinancing initiatives. As at 30 June 2025, 73.4% of US$ SOFR-linked debt was hedged, and
further improvements to the interest cover ratio are expected as disposals progress and capital is reallocated.
Dividends
In light of the distributable loss of US$12.4 million for the twelve-month period ended 30 June 2025, and the Group’s
continued focus on balance sheet optimisation, the Board has resolved not to declare a dividend.
Outlook
The Board and management of Grit recognise that a recalibration of the Group’s capital structure is necessary to
better align the business with its long-term strategic objectives.
As part of ongoing asset recycling and deleveraging efforts, capital reorganisation is expected to support:
• Improved free cash flow generation through targeted debt reduction as well as enhanced flexibility in meeting
near-term obligations and dividend distribution potential.
More critically, the Company aims to unlock value-accretive growth by accelerating the development of GREA’s secured
pipeline of high-yield projects in:
• BPO infrastructure
• Data centres
• Light industrial/logistics assets
• Diplomatic housing infrastructure.
These core sectors remain underpinned by structural demand and robust tenant interest. However, their realisation is
currently constrained by limited access to development capital, despite strong co-investor support.
Management is carefully assessing all options to optimise the capital base, with a view to creating a sustainable
platform that balances liquidity, resilience, and growth.
On behalf of the Board, I extend our sincere appreciation to our shareholders for their continued support and
confidence in Grit’s strategic direction. We remain committed to delivering on our mandate and advancing our role as a
leading impact-driven real estate platform across Africa.
Peter Todd
Chairman
12 August 2025
CHIEF EXECUTIVE OFFICER’S STATEMENT
Introduction
Notwithstanding challenging market conditions, the Group continues to implement its Grit 2.0 strategy, focused on
prudent capital allocation, cost reduction, active interest rate management and balance sheet optimisation through
capital recycling and investment in more defensive, higher-yielding asset classes.
Operational review
The twelve months to 30 June 2025 were marked by heightened macroeconomic volatility across key African markets,
driven largely by global trade disruptions and domestic fiscal constraints. The re-escalation of tariff wars following
policy shifts in the United States has triggered capital outflows from emerging markets, resulting in tighter
liquidity conditions and elevated borrowing costs across the continent. This has had a direct impact on real estate
investment appetite, with delays in corporate expansion and tenant decision-making becoming increasingly pronounced.
In Mozambique, socio-political instability and regulatory uncertainty have compounded these pressures, leading to a
slowdown in foreign direct investment and a more cautious stance from multinational occupiers. Across the broader
region, elevated commercial lending rates - particularly in Kenya (15% - 20%) and Ghana (28%) - have constrained
access to affordable finance, further delaying development pipelines and lease commitments.
Consumer pressure has intensified amid rising inflation and currency volatility, with household purchasing power
eroded by elevated food and energy costs. This has translated into weaker retail performance, with tenants
increasingly seeking lease renegotiations, shorter lease terms, and rental concessions to preserve occupancy. As a
result, the retail sector remains most exposed to affordability constraints, while light industrial, business
processing and data centre assets have shown relative resilience due to their alignment with logistics and digital
infrastructure demand.
Valuation headwinds persist across most asset classes, with retail properties facing the steepest declines. This is
attributed to suppressed consumer demand, increased import duties, and inflation-linked cost pressures that have
undermined tenant profitability and rental growth.
In response, Grit has adopted a more conservative approach to tenant risk and expansion strategy, prioritising
defensive asset classes and stable jurisdictions.
These challenges impacted our net asset value, with EPRA NRV per share for the six months to end June 2025 contracting
by US$9.5 cents per share or 16.4% to US$48.4 cents per share. Likewise, IFRS NAV contracted to US$35.5 cents per
share.
For the twelve-month period ended 30 June 2025, the Group’s distributable performance turned negative, recording a
loss of US$12.4 million compared to earnings of US$1.2 million in the prior year. This decline was largely driven by
lower net operating income, the impact of rental reversions in the retail sector, and reduced economic interest
following the June 2024 disposal of the Bora Africa Group to GREA, which lowered the Group’s effective ownership from
100% to 53.24% and contributed to a US$9.6 million contraction in NOI at a GRIT economic interest level.
Additional pressures on NOI arose from rental reversions to secure key long-term lease renewals and lease concessions
granted, particularly within the retail sector.
Property Portfolio Revenue increased by 2.2% compared to the prior year but decreased by 6.4% for the six-month period
ended 30 June 2025. Similarly, the Group’s Proportionate NOI recorded a 1.1% increase over the 12-month period ended
30 June 2025 but declined by 7.1% over the six-month period.
Contractual rental collections improved to 91.3% from 91.1% at 30 June 2024, whilst 91.7% of the Group’s revenue is
earned in hard currency or from hard currency-linked long-term leases with mainly multinational, blue-chip tenants.
EPRA portfolio occupancy improved to 92.0% as at 30 June 2025, a 2.2% increase on the prior six months, mainly as a
result of tenanting initiatives at Eneo at Tatu Central in Kenya, and Unity Building at The Precinct in Mauritius,
which is now fully let.
Cost containment
During the twelve-month period ended 30 June 2025, administrative expenses reported under IFRS decreased by 1.4%
year-on-year, notwithstanding the full-year inclusion of costs associated with the Group’s project development
subsidiary, APDM. These expenses totaled US$4.0 million, compared to US$2.1 million in the prior year, when APDM was
consolidated for only seven months following its effective date of 30 November 2023.
Owing to the limited development activity undertaken during the period, APDM-related costs were recognised as
administrative expenses rather than capitalised. Excluding APDM, underlying administrative expenses registered a
notable year-on-year decline of 13.9%, underscoring improved operational efficiency.
Focusing on the six-month period ended 30 June 2025, administrative expenses under IFRS declined by 9.7% year-on-year.
When adjusted for APDM, the decrease improved to 21.6%, illustrating the substantive impact of the Group’s targeted
savings initiatives.
Administrative expenses as a proportion of total income-producing assets fell to 1.26% for the six months ended 30
June 2025, down from 1.63% in the prior comparable timeframe. This metric closely mirrors the Group’s short-term
target of 1.25%, further affirming progress toward its medium-term goal of 1.0%.
The Group’s strategic partnership with Broll Property Group (“Broll”) effective from 1 February 2025, is expected to
further support Grit’s medium-term objective of reducing costs. This partnership is expected to deliver annual cost
savings of approximately US$1 million and streamline operational efficiencies, enabling the Group to focus on its core
expertise in impact real estate development, strategic asset management and retaining key tenant relationships.
Finance costs
For the twelve months ended 30 June 2025, finance charges increased by 20.8% year-on-year, largely reflecting the
full-year impact of finance costs associated with the acquisition of GREA. In the comparative period, only seven
months of GREA-related finance charges were recognised, following its consolidation effective 30 November 2023.
Despite increased borrowings, the overall impact was partially offset by modest reductions in global interest rates
and the Group’s proactive use of interest rate derivatives. These measures contributed to a reduction in the weighted
average cost of debt to 9.41% as at 30 June 2025, down from 10.00% in the prior year.
During the six-month period to 30 June 2025, finance charges rose by 3.3% compared to the prior period, primarily
attributable to higher borrowing levels in support of the Group’s strategic growth initiatives.
During the reporting period, the Group increased its hedging positions to 71.8% of its US$ SOFR exposure from 60.8% in
the corresponding period. Further hedging and capital allocation, particularly from disposals, is expected to improve
the Group’s interest cover ratio (ICR) over the medium term.
Creation of largest embassy accommodation platform in Africa and equity issue
On 20 June 2025, the Group officially implemented the creation of Africa’s largest embassy accommodation platform
through the combination of DH Africa and Verdant Ventures as well as Verdant Property Holdings Ltd’s (collectively
“Verdant”) diplomatic housing businesses.
This transaction aligns with the Grit 2.0 strategy to streamline operations and deepen sector-focused expertise within
its development subsidiary, GREA.
In exchange for increasing its stake to 99.99% in DH Ethiopia and DH Kenya, and gaining access to DH Ghana, Grit
issued 24,742,277 new ordinary shares of no-par value at an issue price of US$33.90 cents per share to Verdant,
making Verdant a significant minority shareholder. These shares were listed on the LSE and SEM effective 20 June 2025.
DH Africa now encompasses three income-generating assets with a combined valuation of US$206.9 million, supported by
long-term, sovereign-grade leases and a WALE of 5.2 years.
The platform’s future development pipeline includes US$130 million in projects across key geographies, which will
enhance scale and income diversity once substantially pre-let. This enhanced structure positions Grit to benefit from
the US State Department’s reform agenda and unlock recurring development and management income, reinforcing its role
as a high-quality partner for diplomatic accommodation across Africa.
The full financial and strategic impact of the transaction is expected to be realised in the coming financial years.
Asset recycling
In the face of continued global market volatility and liquidity constraints across key African jurisdictions, the
Group remains resolute in executing its asset disposal strategy - aimed at deleveraging the balance sheet and reducing
the weighted average cost of capital. Central to this approach is the divestment of non-core and non-strategic assets,
facilitating the redeployment of capital into higher-yielding, more resilient investments aligned with the Group’s
long-term objectives.
As part of its strategic repositioning, the Group has earmarked an additional US$200 million in non-core assets for
disposal. While macroeconomic headwinds (outlined earlier in this report) have contributed to delays in the sale of
Tamassa Lux Resort and Artemis Curepipe Hospital, negotiations remain active. Concurrently, meaningful progress is
being made on the potential divestment of Anfa Place Mall, alongside other selected retail and non-core corporate
accommodation assets.
Change to accounting reference date and financial year end
Shareholders are referred to the RNS announcement of 18 June 2025, where the Group announced a change to its
accounting reference date and financial year end from 30 June to 31 December.
The Board considers that this change will better align the reporting period to the operations of the business across
all subsidiaries in the Group, as following this change all Group companies will follow the same accounting reference
date. In addition, following a mandatory audit firm rotation, the change will allow the Company’s recently appointed
auditors, MacIntyre Hudson LLP with Baker Tilly CI Audit Limited sufficient time to better understand the Group and
complete their planning to ensure an efficient audit.
Accordingly, the Company’s next audited financial statements will be prepared for the 18-month period ending 31
December 2025 and will be required to be published on or before 30 April 2026.
Thereafter, the Company will publish each year its unaudited interim results for the 6 month ending 30 June by 30
September, and its audited financial statements for the 12 months ending 31 December by 30 April in accordance with
the Disclosure Guidance and Transparency Rules.
Outlook
Looking ahead, management remains focused on implementing a disciplined optimisation strategy that prioritises income
resilience, cost efficiency, and capital redeployment.
Our recovery and business enhancement plan remains structured around six key pillars:
• Deepening capital partnerships through closer engagement with existing and new funders to lower the cost of
funding
• Strengthening operational performance through tenant retention, rental collections, and sustainable real estate
delivery, while improving profitability via reduced operating costs and enhanced recoveries.
• Recycling non-core assets to unlock capital for debt reduction and reinvestment into higher-yielding,
strategically aligned properties.
• Deleveraging the balance sheet to create headroom for future growth and reduce overall funding costs.
• Streamlining operations by consolidating assets into specialised substructures and leveraging technology to
enhance systems, processes, and workforce efficiency.
• Driving down administrative expenses with a clear target of reducing costs to 1.0% of total income-producing
assets over the medium term.
Presentation of financial results
The condensed unaudited consolidated interim financial statements have been prepared in accordance with International
Financial Reporting Standards (“IFRS”) as issued by the IASB. Alternative performance measures (APMs) have also been
provided to supplement the condensed financial statements as the Directors believe that this adds meaningful insight
into the operations of the Group and how the Group is managed. European Public Real Estate Association (“EPRA”) Best
Practice Recommendations have been adopted widely throughout this report and are used within the business when
considering the operational performance of our properties. Full reconciliations between IFRS and EPRA figures are
provided in notes 16a to 16b. Other APMs used are also reconciled below.
“Grit Proportionate Interest" income statement, presented below, is a management measure to assess business
performance and is considered meaningful in the interpretation of the financial results. Grit Proportionate Interest
Income Statement (including “Distributable Earnings”) are alternative performance measures. In the absence of the
requirement for Distributable Reserves in the domicile countries of the group, Distributable Earnings is utilised to
determine the maximum amount of operational earnings that would be available for distribution as dividends to
shareholders in any financial period. This factors the various company specific nuances of operating across a number
of diverse jurisdictions across Africa and the investments’ legal structures of externalising cash from the various
regions. The IFRS statement of comprehensive income is adjusted for the Group proportionate share of the income
statement line items of properties held in joint ventures and associates. This measure, in conjunction with
adjustments for non-controlling interest (for properties consolidated by the group, but part owned by minority
partners), form the basis of the Group’s distributable earnings build up, which is alternatively shown in Note 16b –
Distributable Earnings.
Performance for the six months ended 30 June 2025
For the six months ended 30 June 2025, the Group reported a distributable loss of US$7.7 million, compared to US$4.2
million for the corresponding period in 2024. The key drivers for the year-on-year variance is net operating income
which was largely impacted by rental reversions to secure key long term lease renewals, lease concessions granted,
particularly within the retail sector as well as the impact of foreign exchange on rental income in Ghana. Although
global interest rates remained elevated, most notably on SOFR-linked debt, the increase in finance charges contributed
only a modest 2.9% year-on-year increase in the distributable loss.Offsetting these pressures, the Group continued to
drive down administration expenses through targeted cost saving initiatives. As a result, administration expenses
decreased by 16.8% year-on-year.
IFRS for the GRIT Distributable
IFRS Income statement to six months Extracted from GRIT Proportionate Split NCI Economic earnings for the
distribution reconciliation ended 30 June Associates Income statement Interest six months ended 30
2025 June 2025
US$'000 US$'000 US$’000 US$'000 US$'000 US$'000
Gross rental income 33,259 3,467 36,726 (10,053) 26,673 26,647
Property operating expenses (6,870) (746) (7,616) 1,466 (6,150) (6,132)
Net operating profit 26,389 2,721 29,110 (8,587) 20,523 20,515
Other income 24 - 24 9 33 37
Administration expenses (8,175) (75) (8,250) 2,499 (5,751) (6,154)
Net impairment charge on (454) - (454) 133 (321) 21
financial assets
Profit / (loss) from 17,784 2,646 20,430 (5,946) 14,484 14,419
operations
Fair value adjustment on (23,425) (684) (24,109) 8,456 (15,653) -
investment properties
Fair value adjustment on
derivative financial (2,882) - (2,882) 79 (2,803) -
instruments
Share of profits from joint 503 (503) - - - -
ventures
Foreign currency (losses) / (2,863) (78) (2,941) (505) (3,446) -
gains
Loss on extinguishment of
other financial liabilities (163) - (163) - (163) -
and borrowings
(Loss)/ Profit before interest (11,046) 1,381 (9,665) 2,084 (7,581) 14,419
and taxation
Interest income 1,936 176 2,112 (975) 1,137 1,137
Finance costs - Intercompany - - - 1,659 1,659 1,659
Finance charges (31,847) (1,564) (33,411) 4,120 (29,291) (25,892)
(Loss)/Profit before taxation (40,957) (7) (40,964) 6,888 (34,076) (8,677)
Current tax (796) (97) (893) 386 (507) (507)
Deferred tax 1,798 104 1,902 (506) 1,396 -
(Loss)/Profit after taxation (39,955) - (39,955) 6,768 (33,187) (9,184)
Total comprehensive loss (39,955) - (39,955) 6,768 (33,187) (9,184)
VAT credits 1,499
Distributable loss (7,685)
Performance for the twelve months ended 30 June 2025
For the twelve month period ended 30 June 2025, the Group recorded a distributable loss of US$12.4 million, compared
to distributable earnings of US$1.2 million for the prior corresponding period. The primary variance drivers for this
variance are net operating income, which, while the Grit proportionate income statement reflected a 1.1% year-on-year
increase in NOI, the was offset by a US$9.6 million impact stemming from changes in non-controlling interests when
calculating the Group economic interest and distributable earnings. This effect primarily resulted from the June 2024
disposal of the Bora Africa Group to GREA, reducing the Group’s effective ownership from 100% to 53.24%. Additional
pressures on NOI arose from rental reversions to secure key long term lease renewals and lease concessions granted,
particularly within the retail sector. Finance costs increased by 6.4% year-on-year,driven by sustained elevated
global interest rates, notably affecting debt linked to SOFR benchmarks. Partially offsetting these impacts,
administration expenses declined by 25.4% year-on-year, reflecting the effectiveness of ongoing cost saving
initiatives implemented across the Group.
IFRS for the GRIT Distributable
IFRS Income statement to twelve months Extracted from GRIT Proportionate Split NCI Economic earnings for the
distribution reconciliation ended 30 June Associates Income statement Interest twelve months ended
2025 30 June 2025
US$'000 US$'000 US$’000 US$'000 US$'000 US$'000
Gross rental income 72,245 7,073 79,318 (22,849) 56,469 56,193
Property operating expenses (13,700) (1,428) (15,128) 3,333 (11,795) (11,758)
Net operating profit 58,545 5,645 64,190 (19,516) 44,674 44,435
Other income 129 - 129 (257) (128) (92)
Administration expenses (17,705) (359) (18,064) 3,711 (14,353) (13,894)
Net impairment charge on (840) - (840) 173 (667) 21
financial assets
Profit / (Loss) from 40,129 5,286 45,415 (15,889) 29,526 30,470
operations
Fair value adjustment on (42,954) (819) (43,773) 13,133 (30,640) -
investment properties
Fair value adjustment on other 20 - 20 (13) 7 -
financial asset
Fair value adjustment on
derivative financial (4,393) - (4,393) 48 (4,345) -
instruments
Share-based payment - - - - - -
Share of profits from joint 1,105 (1,105) - - - -
ventures
Foreign currency (losses) / 1,791 (4) 1,787 (3,169) (1,382) -
gains
Loss on extinguishment of
other financial liabilities (163) - (163) - (163) -
and borrowings
Other transaction costs (3,723) (1) (3,724) 991 (2,733)
(Loss)/Profit before interest (8,188) 3,357 (4,831) (4,899) (9,730) 30,470
and taxation
Interest income 4,907 176 5,083 (1,776) 3,307 3,309
Finance costs - Intercompany - - - 3,137 3,137 3,137
Finance charges (64,679) (3,385) (68,064) 9,763 (58,301) (51,610)
(Loss)/Profit before taxation (67,960) 148 (67,812) 6,225 (61,587) (14,694)
Current tax (1,296) (254) (1,550) 518 (1,032) (1,032)
Deferred tax 3,834 106 3,490 (704) 2,786 -
(Loss)/Profit after taxation (65,422) - (65,872) 6,039 (59,833) (15,726)
Total comprehensive (65,422) - (65,872) 6,039 (59,833) (15,726)
(loss)/income
VAT credits 3,316
Distributable loss (12,410)
Financial and Portfolio summary
Operational performance for the six and twelve months ended 30 June 2025
The Grit Proportionate Income Statement is further broken down to provide a sectoral analysis of Property Portfolio
Revenue² and Net Operating Income (NOI)². Property Portfolio Revenue decreased by 6.4% for the six-month period ended
30 June 2025, while on a year-to-date basis, it increased by 2.2% compared to the prior year. Similarly, the Group’s
Proportionate NOI declined by 7.1% over the six-month period but recorded a 1.1% increase over the 12-month period
ended 30 June 2025.
Revenue Revenue NOI NOI
Year-on-year Year-on-year Rental
Six months ended 30 Six months change in Six months Six months change in Collection1
Sector June 2025 ended 30 June ended 30 June ended 30 June
2024 Revenue 2025 2024 NOI Reported 30 June 2025
Reported2 reported
Reported2 Reported2 Reported2
US$'000 US$'000 % US$’000 US$’000 % %
Retail 9,796 10,469 (6.4%) 6,636 7,223 (8.1%) 95.1%
Hospitality 3,018 3,183 (5.2%) 3,003 3,183 (5.7%) 94.1%
Office 10,938 10,721 2.0% 9,093 9,216 (1.3%) 89.2%
Light industrial 1,631 2,994 (45.5%) 1,489 2,871 (48.1%) 113.0%
Corp 8,434 8,541 (1.3%) 7,047 7,003 0.6% 113.7%
Accommodation
Medical 1,324 1,218 8.7% 1,322 1,211 9.2% 67.9%
83.3%
Data Centre 1,317 1,313 0.3% 1,322 1,313 0.7%
-
Corporate 268 808 (66.8%) (802) (690) (16.2%)
97.4%
TOTAL 36,726 39,247 (6.4%) 29,110 31,330 (7.1%)
Subsidiaries 33,259 33,833 (1.7%) 26,389 26,697 (1.2%) -
Joint Ventures 3,467 5,414 (36.0%) 2,721 4,633 (41.3%) -
97.4%
TOTAL 36,726 39,247 (6.4%) 29,110 31,330 (7.1%)
Revenue Revenue NOI NOI
Year-on-year Year-on-year Rental
Twelve months ended Twelve months change in Twelve months Twelve months change in Collection1
Sector 30 June 2025 ended 30 June ended 30 June ended 30 June
2024 Revenue 2025 2024 NOI Reported 30 June 2025
Reported2 reported
Reported2 Reported2 Reported2
US$'000 US$'000 % US$’000 US$’000 % %
Retail 20,409 20,914 (2.4%) 13,448 13,994 (3.9%) 96.2%
Hospitality 6,129 6,160 (0.5%) 6,106 6,160 (0.9%) 98.8%
Office 22,040 20,117 9.6% 18,214 17,355 4.9% 88.6%
Light industrial 4,551 6,043 (24.7%) 4,194 5,789 (27.6%) 76.3%
Corp 20,487 18,647 9.9% 17,429 15,615 11.6% 104.0%
Accommodation
76.0%
Medical 2,567 1,966 30.6% 2,547 1,956 30.2%
102.2%
Data Centre 3,058 2,099 45.7% 3,050 2,099 45.3%
Corporate 77 1,649 (95.3%) (798) 542 (247.2%) -
94.7%
TOTAL 79,318 77,595 2.2% 64,190 63,510 1.1%
Subsidiaries 72,245 63,977 12.9% 58,545 51,611 13.4% -
Associates 7,073 13,618 (48.1%) 5,645 11,899 (52.6%) -
94.7%
TOTAL 79,318 77,595 2.2% 64,190 63,510 1.1%
Notes
1 Rental Collections represents the amount of cash received as a percentage of contractual income. Contractual income
is stated before the effects of any rental deferment and concessions provided to tenants.
2 The Revenue and NOI figures presented in the table above reflect the Group’s consolidated results from its
subsidiaries, along with its proportionate share of revenue and NOI from joint ventures, which are otherwise presented
within ‘share of profit from joint ventures’ in the condensed consolidated interim financial statements.”
Retail sector: Leasing activity in the retail sector remains strong, with new leases signed at both Anfa Place Mall
and the Zambian malls. This has led to a reduction in overall vacancies from 14.2% in June 2024 to 12.8% in June 2025,
despite ongoing challenges in the retail environment.
However, revenue and Net Operating Income (NOI) for the six- and twelve-month periods ended 30 June 2025 have declined
compared to 2024. This is primarily due to rental concessions that were conservatively accrued in the prior year but
ultimately did not materialise and were reversed in 2024, resulting in an elevated comparative base. As these
concessions reversal were not repeated in 2025, they contributed to the year-on-year decline. Additionally, NOI was
further affected by rising operating costs, reflecting broader market pressures.
Hospitality sector: Performance remained broadly in line with expectations, underpinned by strong occupancy levels at
both Tamassa Resort and Club Med Cap Skirring Resort. The net decrease in revenue and Net Operating Income (NOI) for
the six-month period was primarily due to development rental adjustments made during the period, which also
contributed to a lower result over the twelve-month period. On a like-for-like basis, EBITDA rental from Tamassa was
higher in 2024 compared to 2025, further contributing to the year-on-year decline.
Office sector: 5-year renewals were secured for Vodacom Mocambique SA and ATC Ghana Serviceco Limited, in Mozambique
and Ghana, respectively. Recently completed assets such as The Precinct (Mauritius) and Eneo at Tatu Central (Kenya)
also benefited from increased tenant demand, with both assets now reporting occupancy rates aboves 92%.
Light Industrial sector: Despite ongoing macroeconomic headwinds, the lease with Imperial Managed Solutions East
Africa Limited was successfully renewed for a further five-year term, albeit at prevailing market rental levels. In
Kenya, the challenging economic environment impacted the operations of Orbit Products Africa Limited, resulting in a
reduced space requirement and a renegotiation of rental terms at lower rates. Although the surrendered space has since
been fully re-let, it was done so at lower market rentals.
In Mozambique, renewed optimism and positive developments in the LNG sector have supported market confidence, with
Africa Global Logistics Moçambique S.A. now committing to a new five-year lease.
Corporate accommodation sector: Despite global uncertainties and US policy changes, demand for corporate accommodation
units remain healthy with TotalEnergies EP Mozambique Area1 Limitada renewing leases on 32 units in Acacia Estate
(Mozambique) for a period of 5 years, as well lease renewals secured at Elevation Residences (Ethiopia).
Healthcare and Data Centre sector: Properties within the Healthcare and Data Centre sectors have continued to perform
well. The increase in revenue and Net Operating Income (NOI) compared to the prior periods was driven by the full-year
consolidation of Africa Data Centres and Curepipe Artemis Hospital, contractual rental escalations on the data centre
asset, and the appreciation of the Euro against the US Dollar, which positively impacted the Euro-denominated lease at
Curepipe Artemis Hospital.
Cost control
During the twelve-month period ended 30 June 2025, administrative expenses reported under IFRS declined by 1.4%
year-on-year, despite the full-year consolidation of costs from the Group’s project development arm (APDM), totalling
US$4.0 million. This compares to seven months of APDM costs amounting to US$2.1 million in the prior year, following
its consolidation effective 30 November 2023. Given the limited development activity undertaken during the period,
APDM-related costs were absorbed under administrative expenses rather than capitalised as development costs. Excluding
these, underlying administrative expenses decreased by 13.9% year-on-year—reflecting improved operational efficiency.
For the six-month period ended 30 June 2025, administrative expenses under IFRS fell by 9.7% year-on-year. Adjusting
for APDM-related costs, the decline was even more pronounced at 21.6%, highlighting the tangible impact of the Group’s
targeted savings initiatives.
Administrative expenses as a percentage of total income-producing assets reduced to 1.26% for the six months ended 30
June 2025, down from 1.63% for the prior comparable period. This is closely aligned with the Group’s short-term target
of 1.25%, reinforcing momentum toward its medium-term goal of 1.0%.
Six months Six months Twelve Twelve Movement Movement
Administrative expenses ended 30 ended 30 Movement six Movement six months months twelve twelve
June 2025 June 2024 months ended months ended ended 30 ended 30 months months
June 2025 June 2024 ended ended
US$’000 US$’000 US$’000 % US$'000 US$'000 US$'000 %
Total administrative expenses 8,175 9,056 (881) (9.7%) 17,705 17,951 (246) (1.4%)
reported under IFRS
Less: Administrative expenses
related to APDM not capitalised (1,967) (1,140) (827) 72.5% (4,038) (2,070) (1,968) 95.1%
against development projects
Total ongoing administrative 6,208 7,916 (1,708) (21.6%) 13,667 15,881 (2,214) (13.9%)
expenses – Excluding APDM costs
Administrative expenses reported
under IFRS as % of total income 1.66% 1.86% (0.20%) (10.75%) 1.80% 1.85% (0.05%) (2.70%)
producing assets
Ongoing administrative expense
–Excluding APDM costs as a % of 1.26% 1.63% (0.37%) (22.70%) 1.38% 1.64% (0.26%) (15.85%)
total income producing assets
Material finance cost increases
For the twelve months ended 30 June 2025, finance charges increased by 20.8% year-on-year. This increase primarily
reflects the full twelve-month impact of finance costs associated with the GREA acquisition. The comparative period
reflected only seven months of GREA related finance charges, following its consolidation on 30 November 2023. Despite
higher borrowings, the impact was partially mitigated by marginal reductions in global interest rates and the
strategic use of interest rate derivatives, which collectively reduced the Group’s the weighted average cost of debt
to 9.41% as of 30 June 2025, from 10.00% a year earlier.
During the six-month period ended 30 June 2025, finance charges increased by 3.3% versus the comparable period,
primarily due to increased borrowings.
The net finance charge disclosed below includes an amortisation of loan issuance costs and the impact of interest rate
derivatives utilised.
Six months Six months Twelve Twelve Movement Movement
Net finance costs ended 30 ended 30 Movement six Movement six months months twelve twelve
June 2025 June 2024 months ended months ended ended 30 ended 30 months ended months ended
June 2025 June 2024
US$’000 US$’000 US$’000 % US$'000 US$'000 US$'000 %
Finance costs as per
statement of profit or 31,847 30,825 1,022 3.3% 64,679 53,536 11,143 20.8%
loss
Less: Interest income as
per statement of profit (1,936) (3,767) 1,831 (48.6%) (4,907) (4,882) (25) 0.5%
or loss
Net finance costs - IFRS 29,911 27,058 2,853 10.5% 59,772 48,654 11,118 22.9%
Interest rate risk exposure and management
The exposure to interest rate risk at 30 June 2025 is summarised below, and the table highlights the value of the
Group’s interest-bearing borrowings that are exposed to the base rates indicated:
Lender TOTAL SOFR EURIBOR PLR1 FIXED
US$'000 US$'000 US$'000 US$'000 US$'000
Standard Bank Group 318,368 267,580 50,788 - -
NCBA Bank Kenya 30,424 30,424 - - -
Maubank Ltd 30,000 15,000 - - 15,000
Investec Group 30,409 - 30,409 - -
SBM Bank (Mauritius) Ltd 27,391 27,391 - - -
International Finance Corporation 16,100 16,100 - - -
Nedbank Group 15,620 15,620 - - -
ABSA Group 45,000 45,000 - - -
SBI (Mauritius) Ltd 9,500 9,500 - - -
Private Equity 6,633 - - - 6,633
Zemen Bank S.C 4,140 - - - 4,140
Housing Finance Corporation 3,884 - - - 3,884
First National Bank 540 - - 540 -
AfrAsia Bank Ltd 3 - - 3 -
Total Exposure- IFRS 538,012 426,615 81,197 543 29,657
Exposure % 100.0% 79.3% 15.1% 0.1% 5.5%
Notes
1 PLR – Local Banks’ Prime lending rate
Interest rate risk mitigation
The Group utilises interest rate derivative instruments as well as back-to-back arrangements with joint venture
partners to partially mitigate against the risk of rising interest rates. Taking this into consideration along with
the impact of fixed interest rate instruments the Group is 73.4% hedged on US$ loans but remains largely unhedged to
interest movements on its EUR loans and local bank prime lending rates in Mauritius and South Africa. The hedged
position of the Group as at 30 June 2025 is detailed below:
Lender TOTAL SOFR EURIBOR PLR1 FIXED
US$'000 US$'000 US$'000 US$'000 US$'000
Total exposure - IFRS 538,012 426,615 81,197 543 29,657
Less: Derivative instruments in place (285,332) (285,332) - - -
Less: Partner loans offsetting group exposure (21,034) (21,034) - - -
Less: Fixed interest instruments not subject to interest rate (29,657) - - - (29,657)
volatility
Net exposure (after interest rate derivatives and other mitigating 201,989 120,249 81,197 543 -
instruments) - IFRS
% Exposure hedged 62.5% 71.8% 0.0% 0.0% 100.0%
% Exposure unhedged 37.5% 28.2% 100.0% 100.0% 0.0%
Notes
1 PLR – Local Banks’ Prime lending rate
Interest rate sensitivity
Management monitor and manages the business relative to the weighted average cost of debt (“WACD”), which is the net
finance costs adjusted for the effects of interest rate derivative instruments that are in place as a percentage of
the interest-bearing borrowings due at the reporting date. A sensitivity of the Group’s expected WACD to further
movements in the base rates are summarised below:
All debt WACD Movement vs current WACD Impact on finance costs vs current WACD
% bps US$’000
At 30 June 2025 (including hedges) 9.41%
+50bps 9.70% 29bps 1,656
+25bps 9.58% 17bps 961
-25bps 9.24% (17bps) (965)
-50bps 9.07% (34bps) (1,915)
-100bps 8.75% (65bps) (3,724)
Portfolio performance
For the year to date period ended 30 June 2025, the Group’s income producing assets increased by US$14.6 million,
representing a 1.8% growth compared to the position as at 30 June 2024. The increase is primarily attributable to the
consolidation of DH3 (refer to note 10) which transitioned from a joint venture to a fully consolidated subsidiary.
The increase was partially offset by fair value adjustments recognised on investment properties (including those held
by joint ventures) during the period, amounting to US$43.8 million.
Composition of income producing assets 30 Jun 2025 30 Jun 2024
US$'m US$'m
Investment properties 806.0 792.4
Investment properties included within ‘Investment in joint ventures’ 51.5 80.7
Investment properties included under non-current assets classified as held for sale 75.5 49.0
933.0 922.1
Deposits paid on investment properties 5.1 5.0
Other investments, property, plant & equipment, Intangibles & related party loans 50.7 44.1
Total income producing assets 988.8 971.2
Property valuations
Reported property values, based on Grit’s proportionate share of the total portfolio (including joint ventures),
declined by 1.8% over the 12 months ended 30 June 2025. The reduction was primarily attributable to negative fair
value adjustments of US$43.7 million, representing a 5.10% decrease. However, this was partially offset by positive
foreign exchange movements amounting to US$14.9 million (+1.75%), mainly relating to properties valuation denominated
in currencies that appreciated against the US dollar, notably AnfaPlace Mall, Club Med Cap Skirring Resort and Kafubu
Mall. During the period, Artemis Curepipe Hospital was classified as held for sale, while Rosslyn Grove in Kenya was
fully consolidated as a subsidiary.
Property Property
Value Foreign Development Fair Other Effect of step up Effect of Value Total
Sector exchange and capital value movement of joint venture reclassification Valuation
30 Jun movement expenditures movement to subsidiary to held for sale 30 June Movement
2024 2025
US$'000 US$'000 US$’000 US$’000 US$'000 US$'000 US$'000 US$'000 %
Retail 214,395 5,341 883 (10,189) 2,194 - - 212,624 (0.8%)
Hospitality 31,406 7,631 2,344 (8,409) (22) - - 32,950 4.9%
Office 271,011 - 2,928 (14,421) 651 - - 260,169 (4.0%)
Light 64,714 - 73 (10,506) 15 - - 54,296 (16.1%)
industrial
Data Centres 28,500 - 33 964 503 - - 30,000 5.3%
Healthcare 24,726 2,004 352 (646) 102 - (26,538) - (100.0%)
Corporate 221,021 - 165 (4,737) (277) 29,550 - 245,722 11.2%
Accommodation
GREA under 17,262 - 365 4,172 - - - 21,799 26.3%
construction
TOTAL 873,035 14,976 7,143 (43,772) 3,166 29,550 (26,538) 857,560 (1.8%)
Subsidiaries 792,351 12,476 7,143 4,440 59,100 (26,538) 806,018 1.7%
(42,954)
Joint Ventures 80,684 2,500 - (818) (1,274) (29,550) - 51,542 (36.1%)
TOTAL 873,035 14,976 7,143 (43,772) 3,166 29,550 (26,538) 857,560 (1.8%)
Interest-bearing borrowings movements
As at 30 June 2025, the Group’s interest-bearing borrowings totaled US$540.6 million, up from US$501.2 million at 30
June 2024. The increase of US$39.4 million primarily reflects the consolidation of DH3 on 30 June 2025, as further
detailed in note 10.
As at As at
Movement in reported interest-bearing borrowings for the period (subsidiaries)
30 Jun 2025 30 Jun 2024
US$'000 US$'000
Balance at the beginning of the period 501,164 396,735
Proceeds of interest bearing-borrowings 75,515 79,075
Loan acquired through asset acquisition 36,018 10,770
Loan acquired through business combination - 88,240
Reclassify to held for sale disposal group (10,425) (37,066)
Loan issue costs (4,399) (2,658)
Amortisation of loan issue costs 5,450 3,539
Foreign currency translation differences 1,719 (1,612)
Interest accrued 58,240 49,510
Interest paid during the year (57,871) (48,453)
Debt settled during the year (64,771) (36,916)
As at period end 540,640 501,164
The following debt-related transactions were concluded during the period under review:
• A total facility of US$30.0 million was secured from MauBank Ltd by Grit Services Limited and Grit Real Estate
Income Group Limited.
• A facility of approximately US$0.56 million (ZAR 10 million) was obtained from First National Bank to finance the
acquisition of Parc Nicol.
• Gateway Real Estate Africa secured a facility of US$9.5 million from SBI (Mauritius) Ltd.
• A partial repayment of US$7.5 million was made on the SBSA facility relating to Zambian Property Holdings Limited.
• A further partial repayment of US$18.0 million was made on the SBSA corporate facility held by Gateway Real Estate
Africa.
• A partial repayment of approximately US$3.2 million was made on the Investec facility relating to AnfaPlace Mall.
• The facility previously held by DH One Real Estate PLC with Bank of Oromia in Ethiopia, amounting to approximately
US$4.8 million, was successfully refinanced through Zemen Bank.
For more meaningful analysis, a further breakdown is provided below to better reflect debt related to non-consolidated
joint ventures. As at 30 June 2025, the Group had a total of US$541.8 million in interest-bearing borrowings
outstanding, comprised of US$538.0 million in subsidiaries (as reported in IFRS balance sheet) and US$3.8 million
proportionately consolidated and held within its joint ventures.
30 June 2025 30 June 2024
Debt in Debt in joint Total Debt in Debt in joint Total
Subsidiaries ventures Subsidiaries ventures
USD’000 USD’000 USD’000 % USD’000 USD’000 USD’000 %
Standard Bank Group1 318,369 3,750 322,119 59.5% 334,358 7,500 341,858 65.1%
NCBA Bank Kenya 30,424 - 30,424 5.6% 30,587 - 30,587 5.8%
MauBank Ltd 30,000 - 30,000 5.5% - - - 0.0%
Investec Group 30,409 - 30,409 5.6% 30,288 - 30,288 5.8%
SBM Bank (Mauritius) Ltd 27,390 - 27,390 5.0% 38,132 - 38,132 7.3%
International Finance Corporation 16,100 - 16,100 3.0% 16,100 - 16,100 3.1%
Nedbank Group 15,620 - 15,620 2.9% 15,400 - 15,400 2.9%
ABSA Group 45,000 - 45,000 8.3% 10,000 17,500 27,500 5.2%
SBI (Mauritius) Ltd 9,500 - 9,500 1.8% 5,408 - 5,408 1.0%
Private Equity 6,633 - 6,633 1.2% 5,046 - 5,046 1.0%
Cooperative Bank of Oromia - - - 0.0% 10,491 - 10,491 2.0%
Zemen Bank S.C 4,140 - 4,140 0.8%
Housing Finance Corporation 3,884 - 3,884 0.7% 4,131 - 4,131 0.8%
First National Bank 540 - 540 0.1% - - - 0.0%
Afrasia Bank Ltd 3 - 3 0.0% 15 - 15 0.0%
Total Bank Debt 538,012 3,750 541,762 100.0% 499,956 25,000 524,956 100.00%
Interest accrued 9,957 9,588
Unamortised loan issue costs (7,329) (8,380)
As at 30 June 540,640 501,164
Notes
1 The facility held by the Group with Stanbic Bank has been aggregated with those of the Standard Bank Group. As of 30
June 2025, the total interest-bearing borrowings with Stanbic Bank amounted to US$ 43.9 million (30 June 2024: US$
46.4 million).
Net Asset Value and EPRA Net Realisable Value
Further reconciliations and details of EPRA earnings per share and other metrics are provided in notes 16a to 16b.
NET REINSTATEMENT VALUE (“NRV”) EVOLUTION US$'000 US$ cps
June 2024 as reported – IFRS NRV 211,938 44.0
Financial instruments 26,742 5.5
Deferred tax in relation to fair value gain on investment properties 40,437 8.4
EPRA NRV at 30 Jun 2024 279,117 57.9
Portfolio valuations attributable to subsidiaries (42,954) (8.9)
Portfolio valuations attributable to joint ventures (819) (0.2)
Other fair value adjustments (4,373) (0.9)
Transactions with non-controlling interests 31,531 6.5
Other non-cash items (including non-controlling interest) 6,774 1.4
Cash losses (15,727) (3.3)
Movement in Foreign Currency Translation reserve 6,253 1.3
Movement in revaluation reserve 312 0.1
Coupon paid on preference dividends through retained earnings (1,500) (0.3)
Share issue expenses and transaction costs relating to equity instruments (1,524) (0.3)
Other equity movements (2,628) (0.5)
EPRA NRV before dilution 254,462 52.8
Issue of ordinary share capital (8,388) (2.0)
Movement in treasury share reserve (9,809) (2.4)
EPRA NRV at 30 Jun 2025 236,265 48.4
Deferred tax in relation to fair value gain on investment properties (33,719) (7.0)
Financial instruments (29,231) (5.9)
IFRS NRV at 30 Jun 2025 173,315 35.5
Dividend
No interim dividend has been declared for the six-month period ended 30 June 2025.
Bronwyn Knight
Chief Executive Officer
12 August 2025
PRINCIPAL RISKS AND UNCERTAINTIES
Grit has a detailed risk management framework in place that is reviewed annually and duly approved by the Risk
Committee and the Board. Through this risk management framework, the Company has developed and implemented appropriate
frameworks and effective processes for the sound management of risk.
The principal risks and uncertainties facing the Group as at 30 June 2024 are set out on pages 80 to 85 of the 2024
Integrated Annual Report together with the respective mitigating actions and potential consequences to the Group’s
performance in terms of achieving its objectives. These principal risks are not an exhaustive list of all risks facing
the Group but are a snapshot of the Company’s main risk profile as at year end.
The Board has reviewed the principal risks and existing mitigating actions in the context of the current reporting
period and believes there has been no material change to the risk categories and are satisfied that the existing
mitigation actions remain appropriate to manage them.
STATEMENT OF DIRECTORS RESPONSIBILITIES IN RESPECT OF THE CONDENSED UNAUDITED CONSOLIDATED INTERIM FINANCIAL
STATEMENTS
The directors confirm that the condensed unaudited consolidated interim financial statements have been prepared in
accordance with IAS 34 Interim Financial Reporting, as issued by the International Accounting Standards Board
(“IASB”). They further confirm that the interim financial report provides a fair review of the information required by
the Disclosure Guidance and Transparency Rules (“DTR”) 4.2.7R and 4.2.8R, including:
A summary of significant events that occurred during the six-month period under review and their impact on the
• condensed unaudited consolidated interim financial statements, along with a description of the principal risks and
uncertainties for the remaining six months of the financial year; and
• Details of material related party transactions during the period, together with a fair review of any significant
changes in related party transactions disclosed in the last Annual Report.
The directors are responsible for maintaining the integrity of the Grit website. Legislation in Guernsey governing the
preparation and publication of financial statements may differ from legislation in other jurisdictions.
The directors of the Group are listed in the Annual Report for the year ended 30 June 2024. A list of current
directors is maintained on the Grit website: www.grit.group.
On behalf of the Board
Bronwyn Knight
Chief Executive Officer
CONDENSED CONSOLIDATED INCOME STATEMENT
Audited
Unaudited Unaudited
Twelve months
six months ended Unaudited Twelve months ended ended
30 June 2025 six months ended 30 June 2025 30 June 2024
30 June 2024
Notes US$'000 US$'000 US$'000 US$'000
Gross property income 7 33,259 33,833 72,245 63,977
Property operating expenses (6,870) (7,136) (13,700) (12,366)
Net property income 26,389 26,697 58,545 51,611
Other income 24 305 129 345
Administrative expenses (8,175) (9,056) (17,705) (17,951)
Net impairment on financial assets (454) (4,552) (840) (3,217)
Profit from operations 17,784 13,394 40,129 30,788
Fair value adjustment on investment (23,425) (7,988) (42,954) (27,930)
properties
Fair value adjustment on other financial - (2,001) - (2,236)
liability
Fair value adjustment on other financial - (949) 20 (949)
asset
Fair value adjustment on derivative (2,882) 1,566 (4,393) (2,475)
financial instruments
Fair value loss on revaluation of previously - - - (23,874)
held interest
Share-based payment expense - 10 - (90)
Share of (loss)/profit from associates and 3 503 4,328 1,105 7,142
joint ventures
Loss arising from dilution in equity - - - (12,492)
interest
Loss on derecognition of loans and other - - - 1
receivables
Foreign currency (losses)/gains (2,863) 3,484 1,791 886
Loss on extinguishment of other financial (163) (1,353) (163) (1,353)
liabilities and borrowings
Gain on disposal of property, plant and - 33 - 33
equipment
Other transaction costs - (9,419) (3,723) (8,871)
(Loss)/ Profit before interest and taxation (11,046) 1,105 (8,188) (41,420)
Interest income 8 1,936 3,767 4,907 4,882
Finance costs 9 (31,847) (30,825) (64,679) (53,536)
Loss for the period before taxation (40,957) (25,953) (67,960) (90,074)
Taxation 1,002 (839) 2,538 1,132
Loss for the period after taxation (39,955) (26,792) (65,422) (88,942)
Loss attributable to:
Equity shareholders (37,341) (25,701) (62,244) (84,496)
Non-controlling interests (2,614) (1,091) (3,178) (4,446)
(39,955) (26,792) (65,422) (88,942)
Basic and diluted losses per ordinary share 13 (7.80) (5.30) (12.84) (17.47)
(cents)
CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
Unaudited Unaudited Audited
six months ended Unaudited Twelve months ended Twelve months ended
30 June 2025 six months ended 30 June 2025 30 June 2024
30 June 2024
US$'000 US$'000 US$'000 US$'000
Loss for the period (39,955) (26,792) (65,422) (88,942)
Retirement benefit obligation - 32 - 32
Exchange differences on translation of 8,216 (635) 6,265 (2,694)
foreign operations
Share of other comprehensive 1,695 171 1,011 (2,166)
income/(expense) of joint ventures
Revaluation gain through other comprehensive 124 2,429 436 2,429
income
Other comprehensive income/(expense) that 10,035 1,997 7,712 (2,399)
may be reclassified to profit or loss
Total comprehensive expense relating to the (29,920) (24,795) (57,710) (91,341)
period
Total comprehensive expense attributable to:
Owners of the parent (28,484) (23,408) (55,555) (86,628)
Non-controlling interests (1,436) (1,387) (2,155) (4,713)
(29,920) (24,795) (57,710) (91,341)
CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION
Unaudited as at Audited as at
30 June 2025 30 Jun 2024
Notes US$'000 US$'000
Assets
Non-current assets
Investment properties 2 806,018 792,351
Deposits paid on investment properties 2 5,050 4,976
Property, plant and equipment 15,953 13,952
Intangible assets and goodwill 10,680 2,406
Investments in joint ventures 3 42,760 52,628
Related party loans receivable 208 316
Finance lease receivable - 1,906
Other loans receivable 27,397 22,348
Derivative financial instruments 342 17
Trade and other receivables 4 2,100 2,503
Deferred tax 15,767 13,124
Total non-current assets 926,275 906,527
Current assets
Trade and other receivables 4 39,511 72,809
Current tax receivable 5,134 4,093
Related party loans receivable 8,669 1,534
Derivative financial instruments 19 45
Cash and cash equivalents 21,142 18,766
74,475 97,247
Non-current assets classified as held for sale 82,065 50,624
Total current assets 156,540 147,871
Total assets 1,082,815 1,054,398
Equity and liabilities
Total equity attributable to ordinary shareholders
Ordinary share capital 544,082 535,694
Treasury shares reserve (3,684) (13,493)
Foreign currency translation reserve 1,271 (4,982)
Revaluation reserve 2,865 2,429
Accumulated losses (371,219) (307,710)
Equity attributable to owners of the Company 173,315 211,938
Perpetual preference notes 5 46,874 42,771
Non-controlling interests 124,187 102,605
Total equity 344,376 357,314
Liabilities
Non-current liabilities
Redeemable preference shares - -
Proportional shareholder loans 14,736 36,983
Interest-bearing borrowings 6 430,509 111,635
Lease liabilities 50 578
Derivative financial instruments 5,369 1,857
Related party loans payable 17,921 -
Deferred tax liability 46,395 47,749
Total non-current liabilities 514,980 198,802
Current liabilities
Interest-bearing borrowings 6 110,131 389,529
Lease liabilities 465 137
Trade and other payables 33,575 28,974
Current tax payable 1,395 1,361
Derivative financial instruments 397 1,073
Other financial liabilities 1,386 18,886
Bank overdrafts 1,898 1,988
149,247 441,948
Liabilities directly associated with non-current assets classified as held for 74,212 56,334
sale
Total current liabilities 223,459 498,282
Total liabilities 738,439 697,084
Total equity and liabilities 1,082,815 1,054,398
CONDENSED CONSOLIDATED CASH FLOW STATEMENT
Unaudited
Audited twelve months ended 30 June
twelve months ended 2024
30 June 2025
Notes US$'000 US$'000
Cash generated from operations
Loss for the year before taxation (67,960) (90,074)
Adjusted for:
Depreciation and amortisation 1,174 1,172
Interest income 8 (4,907) (4,882)
Share of profit from associates and joint ventures 3 (1,105) (7,142)
Finance costs 9 64,679 53,536
IFRS 9 charges 840 3,217
Foreign currency gains (1,791) (886)
Straight-line rental income accrual (3,380) (2,685)
Amortisation of lease premium 681 459
Share based payment expense - 90
Fair value adjustment on investment properties 2 42,954 27,930
Fair value adjustment on other financial liability (20) 2,236
Fair value adjustment on other financial asset - 949
Fair value adjustment on derivative financial 4,393 2,475
instruments
Loss on derecognition of loans and other receivables - (1)
Loss on extinguishment of borrowings 163 1,353
Loss on disposal of property, plant and equipment - (33)
Loss arising from dilution in equity interest - 12,492
Fair value loss on revaluation of previously held - 23,874
interest
Other transaction costs 3,723 8,871
39,444 32,951
Changes to working capital 20,430 (10,526)
Cash generated from operations 59,874 22,425
Taxation paid (3,036) (2,044)
Net cash generated from operating activities 56,838 20,381
Cash (utilised in)/ generated from investing activities
Acquisition of, and additions to investment properties 2 (7,142) (22,775)
Deposits received/ (paid) on investment properties 2 - 1,128
Additions to property, plant, and equipment (80) (443)
Additions to intangible assets (25) (50)
Acquisition of subsidiary, other than business 83 3,771
combination, net of cash acquired
Acquisition of subsidiary through business combination, - 6,286
net of cash acquired
Related party loans payables paid (721) -
Proportional shareholder loans repayments from joint 3 2,539 1,852
ventures
Proportional shareholder loans granted to joint ventures (923) -
Interest received 4,036 2,533
Proceeds from disposal of property, plant, and equipment 195
Related party loans receivable granted - 712
Other loans receivable repaid by partners - 1,000
Other loans receivable granted - (1,518)
Net cash utilised in investing activities (2,233) (7,309)
Proceeds from the issue of perpetual preference note - 16,875
Prepetual preference note issue expenses (68) (3,599)
Perpetual note dividend paid (1,500) (1,232)
Ordinary dividends paid - (6,911)
Proceeds from interest bearing borrowings 75,515 79,075
Settlement of interest bearing borrowings (64,771) (36,916)
Finance costs paid (57,871) (48,453)
Proportional shareholder loans repaid (1,105) (2,158)
Proceeds received from partners - 1,386
Buy back of own shares - (98)
Payment on derivative instrument (1,359) (397)
Payments of leases (30) (1,057)
Net cash utilised in financing activities (51,189) (3,485)
Net movement in cash and cash equivalents 3,416 9,587
Cash at the beginning of the year 16,778 7,332
Effect of foreign exchange rates (950) (141)
Total cash and cash equivalents at the end of the period 19,244 16,778
Total cash and cash equivalents comprise of:
Cash and cash equivalents 21,142 18,766
Less: Bank overdrafts (1,898) (1,988)
Total cash and cash equivalents at the end of the period 19,244 16,778
CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
Ordinary Treasury Foreign Preference Perpetual Total
share shares currency Revaluation Accumulated share preference Non-controlling
capital reserve translation reserve losses capital notes interests Equity
reserve
US$'000 US$'000 US$'000 US$'000 US$'000 US$'000 US$'000 US$'000 US$'000
Balance as at 1 535,694 (16,306) (389) - (218,349) 31,596 26,827 (25,456) 333,617
July 2023
Loss for the - - - - (84,496) - - (4,446) (88,942)
year
Other
comprehensive
(expense) / - - (4,593) 2,429 32 - - (267) (2,399)
income for the
year
Total
comprehensive - - (4,593) 2,429 (84,464) - - (4,713) (91,341)
(expense)
/income
Share based - - - - 90 - - - 90
payments
Ordinary
dividends - - - - (7,227) - - - (7,227)
declared
Treasury shares - (98) - - - - - - (98)
buy back
Settlement of
shared based - 2,911 - - (2,911) - - - -
payment
arrangement
Perpetual
preference notes - - - - - - 16,875 - 16,875
issued
Preferred
dividend accrued - - - - (3,900) - 2,668 - (1,232)
on perpetual
notes
Share issue
expenses
relating to - - - - - - (3,599) - (3,599)
issue of
perpetual notes
Preferred
dividend accrued - - - - (634) 634 - - -
on preference
shares
Settlement of
pre-existing
relationship as - - - - - (32,230) - - (32,230)
part business
combination
Non controlling
interest on
acquisition of - - - - - - - 102,971 102,971
subsidiaries
through business
combination
Non controlling
interest on
acquisition of - - - - - - - 13,094 13,094
subsidiary other
than business
combination
Transaction with
non-controlling
interests as - - - - (5,158) - - (16,190) (21,348)
part of business
combination
Transaction with
non-controlling
interests - - - - 17,336 - - (17,336) -
without change
in control
Transaction with
non-controlling
interests - - - - - - - 47,310 47,310
arising from
capital raise of
subsidiary
Transaction with
non-controlling - - - - (2,925) - - 2,925 -
interests
Other movement - - - - 432 - - - 432
Balance as at 30
June 2024 535,694 (13,493) (4,982) 2,429 (307,710) - 42,771 102,605 357,314
(audited)
Balance as at 1 535,694 (13,493) (4,982) 2,429 (307,710) - 42,771 102,605 357,314
July 2024
Loss for the - - - (62,244) - - (3,178) (65,422)
period
Other
comprehensive - - 6,253 436 - - - 1,023 7,712
income for the
period
Total
comprehensive - - 6,253 436 (62,244) - - (2,155) (57,710)
income/(expense)
for the period
Ordinary shares 8,388 - - - - - - - 8,388
issued
Preferred
dividend accrued - - - - (5,671) - 4,171 - (1,500)
on perpetual
notes
Treasury shares - 9,809 - - (7,071) - - - 2,738
movement
Share issue
expenses
relating to - - - - - - (68) - (68)
issue of
perpetual notes
Transaction with
non-controlling
interests - - - - (3,513) - - 3,513 -
without change
in control
Non-controlling
interest on
acquisition of - - - - - - - 5,612 5,612
subsidiary other
than business
combination
Transaction
costs relating
to issurance of - - - - - - - (1,456) (1,456)
equity
instruments
Transaction with
non-controlling
interests - - - - 15,463 - - 16,068 31,531
without change
in control
Other movement - - - - (473) - - - (473)
in equity
Balance as at 30
June 2025 544,082 (3,684) 1,271 2,865 (371,219) - 46,874 124,187 344,376
(Unaudited)
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The principal accounting policies applied in the preparation of this condensed consolidated interim financial
statements are set out below.
Basis of Preparation
The condensed unaudited consolidated interim financial statements have been prepared in accordance with IAS 34 Interim
Financial Reporting, as issued by the International Accounting Standards Board (“IASB”), together with interpretations
issued by the IFRS Interpretations Committee, the pronouncements of the Financial Reporting Standards Council (“FRC”),
and the listing rules of both the London Stock Exchange (“LSE”) and the Stock Exchange of Mauritius (“SEM”). The
financial information presented in these condensed unaudited consolidated interim financial statements comprises the
results of the holding company, Grit Real Estate Income Group, and its subsidiaries (the “Group”), together with the
Group’s share of its investments in joint ventures. These condensed unaudited consolidated interim financial
statements should be read in conjunction with the Group’s most recent audited consolidated statutory accounts for the
year ended 30 June 2024.
Change in Accounting Year End
On 18 June 2025, the Company announced a change in its accounting reference date from 30 June to 31 December. As a
result, the most recent audited consolidated statutory accounts covered the twelve-month period ended 30 June 2024,
and the next audited consolidated statutory accounts will cover an eighteen-month transitional period ending 31
December 2025. Since the last audited statutory accounts, the Company has published consolidated interim results for
the six-month period ended 31 December 2024. This announcement presents the Group’s second set of interim results,
covering the six-month period from 1 January 2025 to 30 June 2025. Where relevant, financial information for the
twelve months ended 30 June 2025 has been presented to provide appropriate year to date context, in accordance with
the requirements of IAS 34.
Going Concern
The directors are required to consider an assessment of the Group's ability to continue as a going concern when
producing the condensed consolidated interim financial statements. As of 30 June 2025, the Directors have assessed the
Group’s financial position and concluded that the Group remains a going concern. The condensed unaudited consolidated
financial statements for the period ended 30 June 2025 continue to be prepared on a going concern basis.
Functional and presentation currency
The condensed unaudited consolidated interim financial statements are prepared and are presented in United States
Dollars (US$). Amounts are rounded to the nearest thousand, unless otherwise stated. Some of the underlying
subsidiaries and joint ventures have functional currencies other than the US$. The functional currency of those
entities reflects the primary economic environment in which they operate.
Presentation of alternative performance measures
The Group presents certain alternative performance measures on the face of the income statement. Revenue is shown on a
disaggregated basis, split between gross rental income and the straight-line rental income accrual. Additionally, if
applicable, the total fair value adjustment on investment properties is presented on a disaggregated basis to show the
impact of contractual receipts from vendors separately from other fair value movements. These are non-IFRS measures
and supplement the IFRS information presented. The directors believe that the presentation of this information
provides useful insight to users of the financial statements and assists in reconciling the IFRS information to
industry wide EPRA metrics.
1.2 Segmental reporting
In accordance with IFRS 8, operating segments are identified based on internal financial reports regularly reviewed by
the Chief Operating Decision Makers (CODM) for the purpose of allocating resources and assessing performance. The CODM
was determined to be the C-Suite members of the Group.The C-Suite members, which include the Chief Executive Officer,
Chief Financial Officer, and senior executives from GREA, have been identified as the CODM because they bear the
primary responsibility for making strategic decisions regarding the allocation of resources to the Group’s operating
segments and for evaluating the performance of these segments. In line with the requirements of IFRS 8, the Group's
operating segments continue to be defined based on the nature of the properties and the markets they serve. These
segments include Hospitality, Retail, Office, Light Industrial, Corporate Accommodation, Healthcare, Data Centres,
Development Management, and Corporate functions. Management believes that this segmentation provides the most relevant
information for stakeholders, and, accordingly, no further aggregation of operating segments into reportable segments
has been made. Although the Group's operations span several geographical locations across Africa, and this geographic
footprint is disclosed to provide users with a more comprehensive understanding of the Group’s activities, management
primarily evaluates the performance of its segments based on their economic characteristics rather than their
geographic location.
1.3 Significant accounting judgements, estimates and assumptions
The preparation of these abridged consolidated half year financial statements in conformity with IFRS requires the use
of accounting estimates which by definition will seldom equal the actual results. Management also needs to exercise
judgement in applying the group's accounting policies. Estimates and judgements are continually evaluated. They are
based on historical experience and other factors, including expectation of future events that may have a monetary
impact on the entity and that are believed to be reasonable under the circumstances.
Significant Judgements
In the process of applying the Group’s accounting policies, management has made the following judgements.
Historical significant judgements which continue to affect the condensed unaudited consolidated interim financial
statements
Freedom Asset Management (FAM) as a subsidiary
The Group has considered Freedom Asset Management (FAM) to be its subsidiary for consolidation purposes due to the
Group’s implied control of FAM, as the Group has ability to control the variability of returns of FAM and has the
ability to affect returns through its power to direct the relevant activities of FAM. The Group does not own any
interest in FAM however it has exposure to returns from its involvement in directing the activities of FAM.
Grit Executive Share Trust (GEST) as a subsidiary
The Group has considered Grit Executive Share Trust (GEST) to be its subsidiary for consolidation purposes due to the
Group’s implied control of GEST, as the Group’s ability to appoint the majority of the trustees and to control the
variability of returns of GEST. The Group does not own any interest in GEST but is exposed to the credit risk and
losses of (GEST) as the Group shall bear any losses sustained by GEST and shall be entitled to receive and be paid any
profits made in respect of the purchase, acquisition, sale or disposal of unawarded shares in the instance where
shares revert back to GEST.
Grit Executive Share Trust II (GEST II) as a subsidiary
During the financial year 2023, Grit Executive Share Trust II has been incorporated to act as trust for the new long
term incentive plan of the Group. The trust will hold Grit shares to service the new scheme when the shares will vest
to the employees in the future. The corporate set-up of GEST II is like GEST and the Group has considered the latter
to be a subsidiary due to the implied control that the Group has over it.
African Development Managers Limited (“APDM”) as subsidiary
Africa Development Managers Ltd transitioned from being classified as a joint venture to a subsidiary on 30 November
2023. Despite holding a majority shareholding of 78.95%, the Group previously did not exercise control over APDM due
to the power criteria not being met under the previous shareholders agreement. Decision-making authority for relevant
activities rested with the investment committee of the Company, requiring seventy-five percent of its members'
approval for decisions to pass. The Group could appoint four out of the seven members to the committee, while the
Public Investment Corporation (PIC), holding 21.05% of APDM, could appoint two members. Additionally, a non executive
member was appointed. Given the requirement for unanimous agreement among the Group and PIC to pass resolutions,
control was not previously established. On 30 November 2023, the Group and PIC collectively signed an amended and
restated APDM shareholder agreement, clarifying and amending the shareholder rights. Notably, the decision approval
threshold at the investment committee was lowered to a simple majority. With the Group's ability to appoint four out
of seven members and the revised decision threshold, control now resides with the Group. In assessing control, the
Group also evaluated the reserved matters outlined in the amended agreement, where PIC's approval is still required
for specific events. Upon a comprehensive review performed by the Group, it was concluded that none of these matters
grant PIC the ability to block decisions related to APDM's relevant activities, but rather are included to safeguard
the minority shareholder's interests. Due to the inherent judgment that needs to be applied in interpreting terms that
are protective rather than substantive, the Group has considered the interpretation of the reserved matters to be an
area of significant judgement.
Gateway Real Estate Africa Limited (“GREA”) as subsidiary.
The Group has recognized Gateway Real Estate Africa Ltd (GREA) as a subsidiary on 30th of November 2023. Similar to
APDM, although the Group held a majority equity stake in GREA, it was previously treated as a joint venture due to the
previous shareholders agreement where its board of directors largely directed its relevant activities. The Group could
appoint three out of seven directors on the board, while PIC could appoint two directors, with the remaining being
nonexecutive. Decisions required seventy-five percent of present members' votes, necessitating the support of PIC for
Grit to make decisions.
On 30th of November 2023, the Group and PIC signed an amended and restated GREA shareholder agreement, clarifying and
amending shareholder rights. Importantly, under the new agreement, the Group now has the ability to appoint four out
of seven directors, while PIC retains the right to appoint two directors. The decision approval threshold at the board
level has been lowered to a simple majority and it was therefore concluded that control of GREA has been established
by the Group. The Group also evaluated specific events where PIC's approval is still required, reflected in the
reserved matter section of the new agreement. Upon comprehensive review, it was concluded that these matters do not
grant PIC the ability to block decisions related to GREA's relevant activities but are included to safeguard PIC's
interests. Due to the inherent judgment that needs to be applied in interpreting terms that are protective rather than
substantive, the Group has considered the interpretation of the reserved matter to be an area of significant
judgement.
Significant Estimates
The principal areas where such estimations have been made are:
Fair value of investment properties
The fair value of investment properties and owner occupied property are determined using a combination of the
discounted cash flows method and the income capitalisation valuation method using assumptions that are based on market
conditions existing at the relevant reporting date. For further details of the valuation method, judgements and
assumptions made, refer to note 2.
2. INVESTMENT PROPERTIES
As at As at
30 June 2025 30 June 2024
US$'000 US$'000
Net carrying value of properties 806,018 792,351
Movement for the year excluding straight-line rental income accrual, lease incentive and
right of use of land
Investment property at the beginning of the year 770,424 611,854
Acquisition through subsidiary other than a business combination - 141,110
Transfer from associate on step up to subsidiary1 59,100 75,040
Reduction in property value on asset acquisition1 (1,410) (938)
Other capital expenditure and construction 7,143 22,775
Transfer to disposal group held for sale2 (24,124) (49,000)
Foreign currency translation differences 12,476 (2,487)
Revaluation of properties at end of year (42,954) (27,930)
As at period end 780,655 770,424
Reconciliation to consolidated statement of financial position and valuations
Carrying value of investment properties excluding right of use of land, lease incentive and 780,655 770,424
straight-line income accrual
Right of use of land 6,614 6,681
Lease incentive 3,701 4,070
Straight-line rental income accrual 15,048 11,176
Total valuation of properties 806,018 792,351
1 The status of the investment in DH3 Kenya Limited, the beneficial owner of Rosslyn Grove in Kenya has changed from a
joint venture to a subsidiary during the reporting period. Refer to note 10 for more information.
2 St Helene, the beneficial owner of Artemis Curepipe Clinic has been reclassified as held for sale during the
reporting period. Refer to note 11 for more information.
Lease incentive asset included in investment property
In accordance with IFRS 16, rental income is recognised in the Group income statement on a straight-line basis over
the lease term. This includes the effect of lease incentives given to tenants. The Group has granted lease incentives
to tenants (in the form of rent-free periods). The result is a receivable balance included within investment property
in the balance sheet as those are balances that must be considered when reconciling to valuation figures to prevent
double counting of assets. This balance is subject to impairment testing under IFRS 9 using the simplified approach to
expected credit loss of IFRS 9.
As at As at
30 June 2025 30 June 2024
US$'000 US$'000
Lease incentive receivables before impairment 4,098 4,442
Impairment of lease incentive receivables (397) (372)
Net lease incentive included within investment property 3,701 4,070
As at As at
Most recent Valuer (for the
Summary of valuations by reporting independent most recent Sector Country 30 June 30 June
date valuation date valuation) 2025 2024
US$'000 US$'000
Commodity House Phase 1 30-Jun-25 REC Office Mozambique 58,567 56,957
Commodity House Phase 2 30-Jun-25 REC Office Mozambique 22,162 20,717
Hollard Building 30-Jun-25 REC Office Mozambique 21,277 21,123
Vodacom Building 30-Jun-25 REC Office Mozambique 40,762 51,281
Zimpeto Square 30-Jun-25 REC Retail Mozambique 2,553 3,277
Bollore Warehouse 30-Jun-25 REC Light industrial Mozambique 9,815 10,144
Anfa Place Mall 30-Jun-25 Knight Frank Retail Morocco 67,800 67,506
VDE Housing Compound 30-Jun-25 REC Corporate Mozambique 40,772 44,021
accommodation
Imperial Distribution Centre 30-Jun-25 Knight Frank Light industrial Kenya 16,140 18,620
Mara Viwandani 30-Jun-25 Knight Frank Light industrial Kenya 2,530 2,530
Buffalo Mall 30-Jun-25 Knight Frank Retail Kenya 9,560 9,950
Eneo Tatu City- CCI Phase 2 30-Jun-25 Knight Frank Office Kenya 28 -
Mall de Tete 30-Jun-25 REC Retail Mozambique 13,742 13,396
Acacia Estate 30-Jun-25 REC Corporate Mozambique 71,042 70,237
accommodation
5th Avenue 30-Jun-25 Knight Frank Office Ghana 17,070 16,660
Capital Place 30-Jun-25 Knight Frank Office Ghana 18,640 20,040
Mukuba Mall 30-Jun-25 Knight Frank Retail Zambia 60,070 62,180
Orbit Complex 30-Jun-25 Knight Frank Light industrial Kenya 19,130 26,750
Copia Land 30-Jun-25 Knight Frank Light industrial Kenya 6,680 6,670
Club Med Cap Skirring Resort 30-Jun-25 Knight Frank Hospitality Senegal 32,950 31,406
Coromandel Hospital 30-Jun-25 Knight Frank Healthcare Mauritius 910 877
Artemis Curepipe Clinic 30-Jun-25 Knight Frank Healthcare Mauritius - 24,726
The Precint- Freedom House 30-Jun-25 Knight Frank Office Mauritius 940 658
The Precint- Harmony House 30-Jun-25 Knight Frank Office Mauritius 2,091 2,085
The Precint- Unity House 30-Jun-25 Knight Frank Office Mauritius 17,345 18,058
Eneo Tatu City- CCI 30-Jun-25 Knight Frank Office Kenya 48,316 47,990
Metroplex Shopping Mall 30-Jun-25 Knight Frank Retail Uganda 18,030 20,020
Adumuah Place 30-Jun-25 Knight Frank Office Ghana 2,329 2,717
Africa Data Centers 30-Jun-25 Knight Frank Data Centre Nigeria 30,000 28,500
DH4 Bamako 30-Jun-25 Knight Frank Corporate Mali 20,857 16,385
accommodation
DH1 Elevation 30-Jun-25 Knight Frank Corporate Ethiopia 75,180 76,870
accommodation
DH3 Rosslyn Grove 30-Jun-25 Knight Frank Corporate Kenya 58,730 -
accommodation
Total valuation of investment properties directly held by the Group- IFRS 806,018 792,351
Valuation of investment property classified as held for sale 75,538 49,000
Valuation of owner-occupied property classified as property, plant and equipment 14,084 12,500
Total valuation of property portfolio 895,640 853,851
Total valuation of investment properties directly held by the Group 806,018 792,351
Deposits paid on Imperial Distribution Centre Phase 2 1,500 1,426
Deposits paid on Capital Place Limited 3,550 3,550
Total deposits paid on investment properties 5,050 4,976
Total carrying value of property portfolio including deposits paid 811,068 797,327
Investment properties held within joint ventures - Group share
Kafubu Mall - Kafubu Mall Limited 30-Jun-25 Knight Frank Retail Zambia 11,863 9,875
(50%)
CADS II Building - CADS Developers 30-Jun-25 Knight Frank Office Ghana 10,675 12,725
Limited (50%)
Cosmopolitan Shopping Centre -
Cosmopolitan Shopping Centre Limited 30-Jun-25 Knight Frank Retail Zambia 29,005 28,190
(50%)
DH3- Rosslyn Grove (50%) 30-Jun-25 Knight Frank Corporate Kenya - 29,850
accommodation
Total of investment properties acquired through joint ventures 51,543 80,640
Total portfolio 862,611 877,967
Functional currency of total property portfolio
United States Dollars 747,468 741,924
Euros 32,950 56,132
Moroccan Dirham 67,800 67,506
Kenyan Shilling 2,530 2,530
Zambian Kwacha 11,863 9,875
Total portfolio 862,611 877,967
All valuations performed in currencies other than US$ have been translated into US$ at the effective closing exchange
rate prevailing on the respective valuation dates. All valuations have been carried out in accordance with the RICS
Valuation – Global Standards applicable at the relevant valuation date and are further compliant with both the
International Valuation Standards and International Financial Reporting Standards. The discounted cash flow method has
been applied in the valuation of all buildings, while all land parcels have been valued using the comparable method.
3. INVESTMENTS IN JOINT VENTURES
The following entities have been accounted for as associates and joint ventures in the current and comparative
consolidated financial statements using the equity method:
As at As at
30 June 2025 30 June 2024
Name of joint venture Country % Held US$'000 US$'000
Kafubu Mall Limited1 Zambia 50.00% 11,795 9,822
Cosmopolitan Shopping Centre Limited1 Zambia 50.00% 29,124 28,143
CADS Developers Limited1 Ghana 50.00% 1,841 4,114
DH3 Holdings Ltd2 Kenya 50.00% - 10,549
Carrying value of joint ventures 42,760 52,628
1 The percentage of ownership interest during the period ending 30 June 2025 did not change.
2 Joint venture status changed to subsidiary during the period. Refer to note 10 for more information.
All investments in joint ventures are private entities and do not have quoted prices available.
The two tables below present a reconciliation of the carrying value of the investment in joint ventures at 30 June
2025 for the six-month period ended 30 June 2025, as well as for the twelve-month period ended 30 June 2025.
Reconciliation of carrying value in joint ventures for the six months to 30 June 2025
Kafubu Mall CADS Developers Cosmopolitan Shopping DH3 Holdings Total
Limited Limited Centre Limited Ltd
US$'000 US$'000 US$'000 US$'000 US$'000
Balance at the beginning of the period- 01 9,372 3,483 28,481 10,604 51,940
January 2025
Profit / (losses) from associates and joint 1,067 (1,894) 1,568 (238) 503
ventures
Revenue 529 287 1,425 1,226 3,467
Property operating expenses and construction (96) (185) (271) (194) (746)
costs
Admin expenses and recoveries (11) (3) (29) (202) (245)
Unrealised foreign exchange gains/(losses) - (9) (67) (8) (84)
Interest income - - - 176 176
Finance charges (5) (449) - (936) (1,390)
Fair value movement on investment property 682 (1,594) 574 (345) (683)
Current tax (32) - (64) - (96)
Deferred tax - 59 - 45 104
Repayment of proportionate shareholders loan (339) (925) (1,264)
Additional loan granted - 252 - 2 254
Foreign currency translation differences 1,695 - - - 1,695
Associate step up to subsidiary - - - (10,368) (10,368)
Carrying value of joint ventures- 30 June 2025 11,795 1,841 29,124 - 42,760
Reconciliation of carrying value in joint ventures for the twelve months to 30 June 2025
Kafubu Mall CADS Developers Cosmopolitan Shopping DH3 Holdings Ltd Total
Limited Limited Centre Limited
US$'000 US$'000 US$'000 US$'000 US$'000
Balance at the beginning of the period- 01 9,822 4,114 28,143 10,549 52,628
July 2025
Profit / (losses) from associates and 1,632 (2,802) 2,850 (575) 1,105
joint ventures
Revenue 1,025 573 2,750 2,725 7,073
Property operating expenses and (191) (267) (525) (445) (1,428)
construction costs
Admin expenses and recoveries (14) (6) (32) (475) (527)
Unrealised foreign exchange gains/(losses) - (10) 14 (15) (11)
Interest income - - - 176 176
Finance charges (5) (1,078) - (2,127) (3,210)
Fair value movement on investment property 903 (2,073) 812 (460) (818)
Current tax (86) - (169) - (255)
Deferred tax - 59 - 46 105
Repayment of proportionate shareholders (670) (1,869) (2,539)
loan
Additional loan granted - 529 - 394 923
Foreign currency translation differences 1,011 - - - 1,011
Associate step up to subsidiary - - - (10,368) (10,368)
Carrying value of joint ventures- 30 June 11,795 1,841 29,124 - 42,760
2025
4. TRADE AND OTHER RECEIVABLES
As at As at
30 June 2025 30 June 2024
US$'000 US$'000
Trade receivables 24,861 17,918
Total allowance for credit losses and provisions (9,031) (7,914)
IFRS 9 - Impairment on financial assets (ECL) (2,851) (2,801)
IFRS 9 - Impairment on financial assets (ECL) Management overlay on specific provisions (6,180) (5,113)
Trade receivables – net 15,830 10,004
Accrued Income 7,630 2,645
Loan interest receivable 22 44
Deposits paid 173 172
VAT recoverable 8,621 11,496
Purchase price adjustment account 946 965
Deferred expenses and prepayments 11,835 5,126
Listing receivables 228 48,751
IFRS 9 - Impairment on other financial assets (ECL) (3,891) (3,891)
Sundry debtors 217 -
Other receivables 25,781 65,308
As at period end 41,611 75,312
Classification of trade and other receivables:
Non-current assets 2,100 2,503
Current assets 39,511 72,809
As at period end 41,611 75,312
5. PERPETUAL PREFERENCE NOTES
As at As at
30 June 2025 30 June 2024
US$'000 US$'000
Opening balance 42,771 26,827
Issue of perpetual preference note classified as equity - 16,875
Preferred dividend accrued 5,671 3,900
Preferred dividend paid (1,500) (1,232)
Less: Incremental costs related to the perpetual preference note issuance (68) (3,599)
As at period end 46,874 42,771
The Group has two perpetual peference notes arrangements as at 30 June 2025. Included below are more details of each
arrangement including the salient features of each note:
International Finance Corporation ("IFC") Perpetual Preference Notes
During the financial year 2024, the Group, through one of its indirect subsidiaries, Orbit Africa Limited ("OAL"), has
issued perpetual preference notes to the International Finance Corporation ("IFC"). The proceeds received by the Group
from the issue amounted to US$16.8 million. Below are the salient features of the notes:
- The notes attract cash coupon at a rate of 3% + Term SOFR per annum and a 3% redemption premium per annum. At its
sole discretion, the Group has the contractual right to elect to capitalize the cash coupons.
- The notes do not have a fixed redemption date and are perpetual in tenor. However, if not redeemed on the redemption
target date, the notes carry a material coupon step-up provision and are therefore expected to result in an economic
maturity and redemption by the Group on or before that date.
- The Group has classified the notes in their entirety as equity in the statement of financial position because of the
unconditional right of the Group to avoid delivering cash to the noteholder.
TRG Africa Mezzanine Partners GP Proprietary Ltd and Blue Peak Private Capital GP Perpetual Preference Notes
In the financial year 2022, the Group through its wholly owned subsidiary Grit Services Limited has issued perpetual
preference note to two investors TRG Africa Mezzanine Partners GP Proprietary Ltd (“TRG Africa”) and Blue Peak Private
Capital GP (“Blue Peak”). The total cash proceeds received from the two investors for the issuance of the perpetual
note amounted to US$31.5million.
Below are salient features of the notes:
- The Note has a cash coupon of 9% per annum and a 4% per annum redemption premium. The Group at its sole discretion
may elect to capitalise cash coupons.
- Although perpetual in tenor, the note carries a material coupon step-up provision after the fifth anniversary that
is expected to result in an economic maturity and redemption by the Group on or before that date.
- The Note may be voluntarily redeemed by the Group at any time, although there would be call-protection costs
associated with doing so before the third anniversary.
- The Note if redeemed in cash by the Group can offer the noteholders an additional return of not more than 3% per
annum, linked to the performance of Grit ordinary shares over the duration of the Note.
- The noteholders have the option to convert the outstanding balance of the note into Grit equity shares. If such
option is exercised by the noteholders, the number of shares to be issued shall be calculated based on a pre-defined
formula as agreed between both parties in the note subscription agreement.
On recognition of the perpetual preference note, the Group has classified eighty five percent of the instrument that
is US$26.8million as equity because for this portion of the instrument the Group at all times will have an
unconditional right to avoid delivery of cash to the noteholders. The remaining fifteen percent of the instrument that
is US$4.7million has been classified as debt and included as part of interest bearing borrowings. The debt portion
arises because the Note contains terms that can give the noteholders the right to ask for repayment of fifteen percent
of the outstanding amount of the note on the occurence of some future events that are not wholly within the control of
the Group. The directors believe that the probability that those events will happen are remote but for classification
purposes, because the Group does not have an unconditional right to avoid delivering cash to the noteholders on
fifteen percent of the notes, this portion of the instrument has been classified as liability.
The incremental costs directly attributable to issuing the notes (classified as equity) have been recorded as a
deduction in equity, in the same equity line where the equity portion of the instrument has been recorded, so that
effectively the equity portion of the instrument is recorded net of transaction costs.
6. INTEREST-BEARING BORROWINGS
The following debt-related transactions were concluded during the period under review:
• A total facility of US$30.0 million was secured from MauBank Ltd by Grit Services Limited and Grit Real Estate
Income Group Limited.
• A facility of approximately US$0.56 million (ZAR 10 million) was obtained from First National Bank to finance the
acquisition of Parc Nicol.
• Gateway Real Estate Africa secured a facility of US$9.5 million from SBI (Mauritius) Ltd.
• A partial repayment of US$7.5 million was made on the SBSA facility relating to Zambian Property Holdings Limited.
• A further partial repayment of US$18.0 million was made on the SBSA corporate facility held by Gateway Real Estate
Africa.
• A partial repayment of approximately US$3.2 million was made on the Investec facility relating to AnfaPlace Mall.
• The facility previously held by DH One Real Estate PLC with Bank of Oromia in Ethiopia, amounting to approximately
US$4.8 million, was successfully refinanced through Zemen Bank.
As at As at
30 June 2025 30 Jun 2024
US$'000 US$'000
Non-current liabilities 430,509 111,635
Current liabilities 110,131 389,529
As at period end 540,640 501,164
Currency of the interest-bearing borrowings (stated gross of unamortised loan issue costs)
United States Dollars 453,216 404,509
Euros 80,116 84,956
Ethiopian Birr 4,140 10,491
South African Rand 540 -
538,012 499,956
Interest accrued 9,957 9,588
Unamortised loan issue costs (7,329) (8,380)
As at period end 540,640 501,164
Movement for the period
Balance at the beginning of the year 501,164 396,735
Proceeds of interest bearing-borrowings 75,515 79,075
Loan acquired through asset acquisition 36,018 10,770
Loan acquired through business combination - 88,240
Reclassify to held for sale disposal group (10,425) (37,066)
Loan issue costs (4,399) (2,658)
Amortisation of loan issue costs 5,450 3,539
Foreign currency translation differences 1,719 (1,612)
Interest accrued 58,240 49,510
Interest paid during the year (57,871) (48,453)
Debt settled during the year (64,771) (36,916)
As at period end 540,640 501,164
Analysis of facilities and loans in issue
As at As at
30 June 2025 30 June 2024
Lender Borrower Initial facility US$'000 US$'000
Financial institutions
Standard Bank South Africa Commotor Limitada US$140.0m 140,000 140,000
Standard Bank South Africa Zambian Property Holdings US$70.4m 56,900 64,400
Limited
Standard Bank South Africa Grit Services Limited EUR33m 29,138 24,502
Standard Bank South Africa Capital Place Limited US$6.2m 6,200 6,200
Standard Bank South Africa Casamance Holdings Limited EUR6.5m 7,717 7,060
Standard Bank South Africa Grit Accra Limited US$6.4m 8,400 8,400
Standard Bank South Africa Casamance Holdings Limited EUR11m 3,561 3,257
Standard Bank South Africa Casamance Holdings Limited EUR11m 8,168 7,472
Standard Bank South Africa Gateway Real Estate Africa Ltd US$18m 9,700 23,000
Standard Bank South Africa Grit Services Limited EUR0.5m 629 576
Standard Bank South Africa Grit Services Limited EUR0.4m 494 452
Standard Bank South Africa Grit Services Limited US$2.5m - 588
Standard Bank South Africa Grit Services Limited US$0.9m 1,081 -
Standard Bank South Africa Grit Services Limited US$1.5m - -
Standard Bank South Africa Grit Services Limited US$2.41m 2,445 -
Standard Bank South Africa Grit Services Limited US$2.02m - 2,025
Total Standard Bank Group 274,433 287,932
State Bank of Mauritius St Helene Clinic Co Ltd EUR 11.64M - 4,600
State Bank of Mauritius St Helene Clinic Co Ltd EUR1.06m - 964
State Bank of Mauritius St Helene Clinic Co Ltd EUR339k (capitalised) - 337
State Bank of Mauritius St Helene Clinic Co Ltd EUR48k (capitalised) - 40
State Bank of Mauritius GD (Mauritius) Hospitality US$10m - 10,000
Investments Ltd
State Bank of Mauritius GR1T House Limited US$22.5m 21,310 22,190
State Bank of Mauritius GD (Mauritius) Hospitality US$10m 6,081 -
Investments Ltd
Total State Bank of Mauritius 27,391 38,131
Investec South Africa Freedom Property Fund SARL EUR36m 30,409 30,288
Total Investec Group 30,409 30,288
ABSA Bank (Mauritius) Limited Gateway Real Estate Africa Ltd US$10.0m 10,000 10,000
ABSA Bank Kenya PLC DH3 Kenya Limited US$35.0m 35,000
Total ABSA Group 45,000 10,000
Maubank Mauritius Grit Real Estate Income Group US$15.0m 15,000 -
Limited
Maubank Mauritius Grit Services Limited US$15.0m 15,000 -
Total Maubank Mauritius 30,000 -
Nedbank South Africa Warehously Limited US$8.6m 8,620 8,620
Nedbank South Africa Grit Real Estate Income Group US$7m 7,000 6,780
Limited
Total Nedbank South Africa 15,620 15,400
NCBA Bank Kenya Grit Services Limited US$3.9m 4,111 3,984
NCBA Bank Kenya Grit Services Limited US$8.0m 8,255 8,000
NCBA Bank Kenya Grit Services Limited US$6.5m 6,707 6,500
NCBA Bank Kenya Grit Services Limited US$11.0m 11,351 11,000
NCBA Bank Kenya Grit Services Limited US$6.5m - 514
NCBA Bank Kenya Grit Services Limited US$11.0m - 589
Total NCBA Bank Kenya 30,424 30,587
Ethos Mezzanine Partners GP Proprietary Grit Services Limited US$2.4m 2,648 2,475
Limited
Blue Peak Holdings S.A.R.L Grit Services Limited US$2.2m 2,295 2,250
Total Private Equity 4,943 4,725
International Finance Corporation Stellar Warehousing and US$16.1m 16,100 16,100
Logistics Limited
Total International Finance Corporation 16,100 16,100
Housing Finance Corporation Buffalo Mall Naivasha Limited US$4.24m 3,884 4,131
Total Housing Finance Corporation 3,884 4,131
AfrAsia Bank Limited Africa Property Development Term Loans 3 15
Managers Ltd
Total AfrAsia Bank Limited 3 15
SBI (Mauritius) Ltd St Helene Clinic Co Ltd EUR 11.64m - 5,159
SBI (Mauritius) Ltd St Helene Clinic Co Ltd EUR0.25m - 249
SBI (Mauritius) Ltd Grit Real Estate Income Group US$9.5m 9,500 -
Limited
Total SBI (Mauritius) Ltd 9,500 5,408
Stanbic Bank Ghana Ltd GD Appolonia Limited US$1.5m 595 1,295
Stanbic Bank Uganda Limited Gateway Metroplex Ltd US$10.75m 6,965 8,337
Stanbic IBTC PLC Nigeria DC One FZE US$13.59m 10,696 11,155
Stanbic Bank Kenya Gateway CCI Limited US$13.59m 25,679 13,988
Stanbic Bank Ghana Ltd Gateway CCI Limited US$2.0m - 2,397
Stanbic Bank Uganda Limited Gateway CCI Limited US$1.8m - 1,947
Stanbic IBTC PLC Nigeria Gateway CCI Limited US$1.2m - 1,319
Stanbic Bank Kenya Gateway CCI Limited US$0.86m - 864
Stanbic Bank Kenya Gateway CCI Limited US$5.04m - 5,125
Total Stanbic Bank 43,935 46,427
Bank of Oromia DH One Real Estate PLC Ethiopian Birr 620m - 10,491
Total Bank of Oromia - 10,491
High West Capital Partners Grit Services Limited US$3.5m 1,690 321
Total High West Capital Partners 1,690 321
FNB Grit Parc Nicol ZAR10m 540 -
Total FNB 540 -
Zemen Bank S.C DH One Real Estate PLC Ethiopian Birr571m 4,140 -
Total Zemen Bank S.C 4,140 -
Total loans in issue 538,012 499,956
plus: interest accrued 9,957 9,588
less: unamortised loan issue costs (7,329) (8,380)
As at period end 540,640 501,164
Fair value of borrowings is not materially different to their carrying value amounts since interest payable on those
borrowings are either close to their current market rates or the borrowings are short-term in nature.
7. GROSS PROPERTY INCOME
Unaudited Unaudited Unaudited Audited
Six months ended Six months ended Twelve months ended Twelve months ended
30 June 2025 30 June 2024 30 June 2025 30 June 2024
US$'000 US$'000 US$'000 US$'000
Contractual rental income 28,690 27,358 57,754 51,755
Retail parking income 847 851 1,727 1,730
Straight-line rental income accrual 1,069 1,661 3,380 2,685
Other rental income (1,619) (329) (559) (473)
Gross rental income 28,987 29,541 62,302 55,697
Asset management fees 231 808 35 1,525
Recoverable property expenses 4,041 3,484 9,908 6,755
Total gross property income 33,259 33,833 72,245 63,977
8. INTEREST INCOME
Unaudited Unaudited Unaudited Audited
Six months ended Six months ended Twelve months ended Twelve months ended
30 June 2025 30 June 2024 30 June 2025 30 June 2024
US$’000 US$'000 US$'000 US$'000
Finance lease interest income - 98 97 114
Interest on loans to partners 1,072 1,160 2,598 2,683
Interest on loans from related parties 262 2,318 691 1,833
Interest on tenant rental arrears 516 49 1,172 49
Interest on property deposits paid - 117 74 178
Bank interest 18 - 62 -
Other interest income 68 25 213 25
Total interest income 1,936 3,767 4,907 4,882
9. FINANCE COSTS
Unaudited Unaudited Unaudited Audited
Six months ended Six months ended Twelve months ended Twelve months ended
30 June 2025 30 June 2024 30 June 2025 30 June 2024
US$'000 US$'000 US$'000 US$'000
Interest-bearing borrowings - financial 28,098 28,038 57,724 48,312
institutions
Interest on unwinding of financial liability 553 - 553
Early settlement charges 128 1,197 516 1,198
Amortisation of loan issue costs 2,738 1,910 5,450 3,539
Preference share dividends 478 463 958 962
Interest on derivative instrument1 (665) (1,676) (2,047) (2,449)
Interest on lease liabilities 70 112 90 256
Interest on loans to proportional 500 156 1,373 1,032
shareholders
Interest on loans to related parties 436 - 496 -
Interest on bank overdraft 64 72 119 133
Total finance costs 31,847 30,825 64,679 53,536
1 The Group includes the net interest income from its derivative instruments within finance costs. Although hedge
accounting is not applied, these instruments were contracted as an economic hedge to mitigate the impact of
unfavorable movements in interest rates.
10. ACQUISITION OF SUBSIDIARY AND TRANSACTION WITH NON-CONTROLLING INTEREST
Completion of the Establishment of the Diplomatic Accommodation Platform
10.1 Consolidation of DH3 Kenya
In continuation of the disclosures in Notes30(b) and41 of the Group’s 2024 Annual Report, Grit Real Estate Income
Group (“the Group”) announced in June2025 that all outstanding conditions and implementation steps had been fulfilled
to combine the diplomatic housing businesses of its subsidiary, Diplomatic Holdings Africa Ltd (“DH Africa”), with
those of Verdant Ventures LLC and Verdant Property Holdings Ltd (together, “Verdant”). Gateway Real Estate Africa
(“GREA”), a subsidiary of the Group, together with Verdant, had previously co-developed the Elevation Diplomatic
Residences in Addis Ababa, Ethiopia (“DH Ethiopia”) and the Rosslyn Grove Diplomatic Apartment and Townhouse Complex
in Nairobi, Kenya (“DH Kenya”), with GREA and Verdant each holding a 50% equity interest in these entities. Following
completion of the transaction, DH Africa now holds a 99.9% equity interest in both DH Ethiopia and DH Kenya and has
secured exposure to DH Ghana, a 108-unit diplomatic development in Ghana, through a convertible note.
As at 30 June 2025, the properties owned by DH Africa comprise (i) Acacia Estate in Mozambique, (ii) Elevation
Diplomatic Residences in Ethiopia, (iii) Rosslyn Grove Diplomatic Apartment and Townhouse Complex in Kenya, and (iv) a
land plot in Mali earmarked for future consular accommodation.
As part of the transaction, Verdant subscribed for shares in DH Africa, which was previously wholly owned by GREA, and
now holds a 38.70% equity interest therein. In consideration for its subscription, Verdant assigned receivables
amounting to US$26.7 million, which were previously owed by DH Ethiopia and DH Kenya, to DH Africa and a US$4.7
million convertible note, convertible into equity in DH Ghana. Following completion of the transaction, Grit, through
GREA and DH Africa, has obtained control over DH Kenya in accordance with IFRS 10, and DH Kenya has been consolidated
into the Group’s financial statements. This consolidation did not arise through the exchange of consideration but
rather through changes to the governance structure of the broader diplomatic housing platform, which is now managed at
the DH Africa level under a revised shareholder agreement. In accordance with the terms of this shareholder agreement,
Grit through GREA exercises control as defined by IFRS 10 over DH Africa and its subsidiaries.
DH Kenya was previously treated as an joint venture for the Group. The acquisition of DH3 did not constitute the
acquisition of a business as the Group, having applied the optional concentration test concluded that the fair value
of the gross asset was concentrated in a single identifiable asset being the investment property. The acquisition has
resulted in the Group acquiring some incidental assets and liabilities. The previously held equity interest has not
been re-measured but instead the Group has used a cost accumulation approach inaccordance with the section 1.5 of its
accounting policy (disclosed in the annual financial statements section of the 2024 annual report) which resulted in
no gain or loss being recognized upon stepping up from joint venture to subsidiary.
Details of the assets and liabilities acquired as part of the asset acquisition of DH Kenya are:
Assets Acquired US$'000
Investment property 59,100
Property, plant and equipment 2
Trade and other receivables 1,808
Cash and cash equivalents 83
Total assets 60,993
Liabilities assumed
Interest-bearing borrowings (35,450)
Related party loans payable (5,397)
Trade and other payables (2,900)
Intercompany loans (29)
Total liabilities (43,776)
Identifiable net assets acquired 17,217
Cost of Group of assets acquired and liabilities assumed
Previously equity accounted carrying amount of investment in joint venture 10,368
Non-controlling interest acquired1 5,439
Total consideration 15,807
Excess net assets acquired over consideration 1,410
1 The Group elected to measure the non-controlling interest in DH Kenya based on its proportionate share of the net
identifiable assets acquired. At the acquisition date, the non-controlling interest amounted to 50%. This percentage
was applied to the net assets of DH Kenya before the settlement of any pre-existing relationships. The assets and
liabilities presented in the table above reflect the balances after the elimination of these pre-existing
relationships. In particular, a balance of US$6.3 million, representing a payable by DH Kenya to GREA, was excluded
from the liabilities assumed.
As the acquisition was determined to be an asset acquisition, the Group applied the cost accumulation approach and
adjusted the net assets acquired, specifically the investment property, so that the group of assets and liabilities
assumed are recorded at the total consideration transferred. This resulted in a corresponding and equal fair value
adjustment to the investment property, recognised as a gain, to reflect the corrected valuation of the property
immediately following the acquisition.
10.2 Transaction with non-controlling interest
As previously disclosed, the transaction resulted in Verdant acquiring a 38.2% equity interest in DH Africa. As
consideration for the shares subscribed in DH Africa, Verdant re-assigned receivables amounting to US$26.7 million to
DH Africa. In the Group’s consolidated financial statements, US$21.7 million of this amount was classified as a
liability under the financial statement line item “Proportional shareholder loans”, with the remaining US$5.0 million
recorded under “Related party loan payable” as reflected in the table above. Verdant also granted DH Africa a
convertible note with a principal amount of US$4.7 million, which is convertible into equity shares in DH Accra.
Following the change in shareholding in DH Africa, the Group continues to consolidate all assets held within DH
Africa. However, this change in shareholding has resulted in a change in the Group’s effective interest in the
underlying assets held by DH Africa. This change has been accounted for as a transaction with non-controlling
interests, in accordance with IFRS 10, without a change in control. The table below summarises the impact of this
transaction on the equity attributable to the shareholders of the Group.
US$’000
Carrying amount of non-controlling interests disposed 16,068
Consideration received from non-controlling interests 1 31,531
Increase in equity attributable to equity shareholders 15,463
1 The consideration received represents the liabilities previously owed to Verdant, which have been effectively
extinguished from a Group perspective as part of the transaction, amounting to US$26.7 million, together with the
convertible loan receivable of US$4.7 million. The convertible loan receivable has been disclosed as part of “other
loans receivable” on the face of the statement of financial position.
10.3 Acquisition of asset and development management contract
As part of the overall transaction, Grit has issued 24.7 million new ordinary shares at an issue price of US$ 33.9
cents per share to acquire Verdant’s contractual rights to asset management and development management fees in respect
of the diplomatic housing assets that transferred to DH Africa. Under the previous arrangement, Verdant was
contractually entitled to receive these fees over the life of the diplomatic assets. Following this transaction, these
rights have been ceded to Grit which in turn will be ceded to its subsidiary DHA Real Estate Management Ltd, enabling
the Group to internalise these functions through its existing development and asset management platforms.
In accordance with the requirements of IAS 38 – Intangible Assets, Grit has recognised an intangible asset in respect
of these contractual rights, reflecting the Group’s control over the rights and its ability to generate future
economic benefits through either the receipt of development and asset management fees, or through the avoidance of
external costs that would have otherwise been payable to Verdant. As the future economic benefits arise from
contractual rights, the asset meets the contractual-legal criterion for identifiability under IAS 38.
The intangible asset has been recognised at a cost of US$8.3 million, representing the fair value of the consideration
exchanged. The useful life of the asset has been determined to be 12.5 years, aligned with the adjusted average lease
terms of the underlying assets held within DH Africa. The intangible asset will be amortised on a straight-line basis
over this period through the income statement. The carrying amount will be subject to impairment testing should any
indicators of impairment arise in accordance with IAS 36.
11. Non-current assets classified as held for sale
In October 2024, the Group entered into a Share Purchase Agreement (“SPA”) for the disposal of its equity interest in
St Helene Clinic Co Ltd (“St Helene”), the beneficial owner of Artemis Curepipe Hospital in Mauritius. The
classification of this investment as held for sale was reassessed as at 30 June 2025 and remains appropriate.
Furthermore, on 30 June 2024, the Group classified Mara Delta (Mauritius) Property Limited (“Mara Delta”), the
beneficial owner of Tamassa Resort in Mauritius, as a disposal group held for sale. This classification was similarly
reassessed as at 30 June 2025 and remains appropriate.
The table below sets out the major classes of assets and liabilities of St Helene and Mara Delta that have been
classified as held for sale as at 30 June 2025:
Assets of disposal group classified as held for sale as at 30 June 2025
Mara Delta (Mauritius) Property Limited St Helene Clinic Co Ltd Total
US$'000 US$'000 US$'000
Investment property 49,000 26,538 75,538
Trade and other receivables 737 874 1,611
Current tax refundable 295 173 468
Deferred tax asset - non current 1,516 19 1,535
Cash and cash equivalents 62 883 945
Finance lease receivable - 1,968 1,968
51,610 30,455 82,065
Liabilities of disposal group classified as held for sale as at 30 June 2025
Mara Delta (Mauritius) Property Limited St Helene Clinic Co Ltd Total
US$'000 US$'000 US$'000
Interest-bearing borrowings 40,123 11,301 51,424
Trade and other payables 4,218 1,264 5,482
Redeemable preference shares 13,036 - 13,036
Deferred tax liabilities - non current 3,287 144 3,431
Current tax payable - 30 30
Proportional shareholder loans - 809 809
60,664 13,548 74,212
12. Segmental reporting
Consolidated segmental analysis
The Group reports on a segmental basis in terms of geographical location and sector. Geographical location is split
between Senegal, Morocco, Mozambique, Zambia, Kenya, Ghana and Mauritius, as relevant to each reporting period.
Following the integration of Gateway Real Estate Africa within the Group the Geographical segment has been extended to
now include Ethiopia, Mali, Uganda and Nigeria. The Group sectors are split into Hospitality, Retail, Office, Light
industrial, Corporate Accommodation, Healthcare, Data Centre, Coporate, Development management and other investments.
Geographical Mozam Maurit Ethio
location 30 June Senegal Morocco Zambia Kenya Ghana Nigeria Uganda Mali Total
2025 bique ius pia
Reportable
segment profit
and loss
Gross property 2,232 6,989 22,128 5,514 9,024 3,590 9,663 3,058 887 - 9,160 72,245
income
Property
operating (12) (3,744) (3,934) (577) (1,443) (690) (1,772) (6) (618) - (904) (13,700)
expenses
Net property 2,220 3,245 18,194 4,937 7,581 2,900 7,891 3,052 269 - 8,256 58,545
income
Other income - - - - - - 129 - - - - 129
Administrative (85) (548) (2,254) (29) (512) (375) (12,799) (405) (370) (58) (270) (17,705)
expenses
Net impairment
(charge) / credit - (237) (207) - 40 (196) (146) - (94) - - (840)
on financial
assets
Profit / (loss) 2,135 2,460 15,733 4,908 7,109 2,329 (4,925) 2,647 (195) (58) 7,986 40,129
from operations
Fair value
adjustment on (3,845) (7,007) (10,532) (2,110) (11,520) (1,459) (6,840) 963 (2,053) 4,172 (2,723) (42,954)
investment
properties
Fair value
adjustment on - - - - 20 - - - - - - 20
other financial
asset
Fair value
adjustment on
derivatives - - - - (103) - (4,290) - - - - (4,393)
financial
instruments
Share of profits
/ (losses) from - - - 4,482 (575) (2,802) - - - - - 1,105
associates and
joint ventures
Impairment of
loans and other - (78) - - - - 78 - - - - -
receivables
Foreign currency 318 1,319 52 (78) (289) 133 (3,306) (1) (12) 7 3,648 1,791
gains / (losses)
Other transaction - - - - - - (3,723) - - - - (3,723)
costs
Profit / (loss)
before interest (1,392) (3,306) 5,253 7,202 (5,358) (1,799) (23,169) 3,609 (2,260) 4,121 8,911 (8,188)
and taxation
Interest income - - - - - - 4,907 - - - - 4,907
Finance costs (176) (2,729) (15,141) - (5,645) (1,886) (33,266) (1,261) (799) - (3,776) (64,679)
Profit / (loss)
for the year (1,568) (6,035) (9,888) 7,202 (11,003) (3,685) (51,528) 2,348 (3,059) 4,121 5,135 (67,960)
before taxation
Taxation - (347) 2,807 (376) 321 (129) (36) (136) 544 1 (111) 2,538
Profit / (loss)
for the year (1,568) (6,382) (7,081) 6,826 (10,682) (3,814) (51,564) 2,212 (2,515) 4,122 5,024 (65,422)
after taxation
Reportable
segment assets
and liabilities
Non-current
assets
Investment 32,950 67,800 280,692 60,070 102,384 38,039 21,286 30,000 18,030 20,857 133,910 806,018
properties
Deposits paid on
investment - - - - - - 5,050 - - - - 5,050
properties
Property, plant - 21 92 - 10 4 14,569 - 47 - 1,210 15,953
and equipment
Intangible assets - (10) - - - - 10,690 - - - - 10,680
Other investments - - - - - - - - - - - -
Investment in
associates and - - - 40,919 - 1,841 - - - - - 42,760
joint ventures
Related party - - - - - - 208 - - - - 208
loans receivable
Finance lease - - - - - - - - - - - -
receivable
Other loans - - 1,515 - - - 25,882 - - - - 27,397
receivable
Derivative
financial - - - - - - 342 - - - - 342
instruments
Trade and other - (144) - - 2,244 - - - - - - 2,100
receivables
Deferred tax - 1,027 9,383 - 2,209 2,432 1,018 - 43 - (345) 15,767
Total non-current 32,950 68,694 291,682 100,989 106,847 42,316 79,045 30,000 18,120 20,857 134,775 926,275
assets
Current assets
Trade and other 1,016 2,560 8,262 - 6,547 1,255 17,849 646 315 256 805 39,511
receivables
Current tax - - 999 - 1,309 1,701 909 - 29 - 187 5,134
receivable
Related party - - - - - - 8,669 - - - - 8,669
loans receivable
Derivative
financial - - - - - - 19 - - - - 19
instruments
Cash and cash 366 176 5,251 157 2,010 387 10,067 10 20 71 2,627 21,142
equivalents
1,382 2,736 14,512 157 9,866 3,343 37,513 656 364 327 3,619 74,475
Non-current
assets classified - - - - - - 82,065 - - - - 82,065
as held for sale
Total assets 34,332 71,430 306,194 101,146 116,713 45,659 198,623 30,656 18,484 21,184 138,394 1,082,815
Liabilities
Total liabilities 3,716 47,939 193,630 5,155 99,482 24,178 334,360 11,164 7,430 44 11,341 738,439
Net assets 30,616 23,491 112,564 95,991 17,231 21,481 (135,737) 19,492 11,054 21,140 127,053 344,376
Type of property 30 Hospitality Retail Office Light Corporate Health Data Dev. Mngt Corporate Total
June 2025 industrial Accom care Centre
Reportable segment
profit and loss
Gross property 6,121 15,516 22,622 4,554 17,623 2,569 3,058 - 182 72,245
income
Property operating (24) (5,949) (3,560) (354) (2,613) (20) (8) - (1,172) (13,700)
expenses
Net property income 6,097 9,567 19,062 4,200 15,010 2,549 3,050 - (990) 58,545
Other income - (2) 127 - (44) - - 2 46 129
Administrative (435) (1,039) (1,280) (121) (2,584) (337) (397) (2,105) (9,407) (17,705)
expenses
Net impairment
(charge) / credit - (383) (223) 26 (134) - (1) - (125) (840)
on financial assets
Profit / (loss) 5,662 8,143 17,686 4,105 12,248 2,212 2,652 (2,103) (10,476) 40,129
from operations
Fair value
adjustment on (8,409) (11,904) (12,348) (10,506) (105) (646) 964 - - (42,954)
investment
properties
Fair value
adjustment on other - - - - - - - - - -
investments
Fair value
adjustment on other - - - 20 - - - - - 20
financial asset
Fair value
adjustment on
derivatives - - (103) - - - - - (4,290) (4,393)
financial
instruments
Share of profits /
(losses) from - 4,482 (2,802) (575) - - - - 1,105
associates and
joint ventures
Foreign currency (394) 1,234 (106) (13) 3,657 398 (1) (7) (2,977) 1,791
gains / (losses)
Loss on
extinguishment of - - - - - - - - (163) (163)
borrowings
Other transaction - - - - - - - (3,100) (623) (3,723)
costs
Profit / (loss)
before interest and (3,141) 1,955 2,327 (6,394) 15,225 1,964 3,615 (5,210) (18,529) (8,188)
taxation
Interest income - - - - - - - - 4,907 4,907
Finance costs (3,972) (4,060) (21,572) (2,875) (3,403) (807) (1,264) (115) (26,611) (64,679)
Profit / (loss) for
the year before (7,113) (2,105) (19,245) (9,269) 11,822 1,157 2,351 (5,325) (40,233) (67,960)
taxation
Taxation (23) (177) 2,087 275 524 (6) (135) - (7) 2,538
Profit / (loss) for
the year after (7,136) (2,282) (17,158) (8,994) 12,346 1,151 2,216 (5,325) (40,240) (65,422)
taxation
Reportable segment
assets and
liabilities
Non-current assets
Investment 32,950 171,783 249,499 54,295 266,581 910 30,000 - - 806,018
properties
Deposits paid on
investment - - - - - - - - 5,050 5,050
properties
Property, plant and - 75 14 - 1,300 - - 1,114 13,450 15,953
equipment
Intangible assets - 27 - - - - - 2,212 8,441 10,680
Investment in
associates and - 40,919 1,841 - - - - - - 42,760
joint ventures
Related party loans - - - - - - - - 208 208
receivable
Finance lease - - - - - - - - - -
receivable
Other loans - - 1,515 - - - - - 25,882 27,397
receivable
Derivative
financial - - - - - - - - 342 342
instruments
Trade and other - (144) - 2,244 - - - - - 2,100
receivables
Deferred tax - 3,231 6,194 1,395 3,935 - - - 1,012 15,767
Total non-current 32,950 215,891 259,063 57,934 271,816 910 30,000 3,326 54,385 926,275
assets
Current assets
Trade and other 1,023 2,969 8,802 5,317 5,165 38 646 1,878 13,673 39,511
receivables
Current tax 295 568 2,224 1,201 239 149 - 12 446 5,134
receivable
Related party loans - - - - - - - - 8,669 8,669
receivable
Derivative
financial - - - - - - - - 19 19
instruments
Cash and cash 367 902 4,875 467 4,845 15 10 2,119 7,542 21,142
equivalents
1,685 4,439 15,901 6,985 10,249 202 656 4,009 30,349 74,475
Non-current assets
classified as held 51,610 - - - 1 30,454 - - - 82,065
for sale
Total assets 86,245 220,330 274,964 64,919 282,066 31,566 30,656 7,335 84,734 1,082,815
Liabilities
Total liabilities 64,391 70,053 232,731 30,868 79,192 13,773 11,164 2,106 234,161 738,439
Net assets 21,854 150,277 42,233 34,051 202,874 17,793 19,492 5,229 (149,427) 344,376
Major customers
Rental income stemming from the US Embassy represented approximately 19.3% of the Group’s total contractual rental
income for the period, with Total Group 8.49%, Tamassa LUX 4.48%, CCI 4.14% and Vodacom Mozambique 4.04%, making up
the top 5 tenants of the Group.
13. Basic and diluted LOSSES per ordinary share
Attributable earnings Weighted average number of Cents per share
shares
Six months ended Six months ended Six months ended Six months Six months Six months
ended ended ended
30 June 2025 30 June 2024 30 June 2025
30 June 2024 30 June 2025 30 June 2024
US$'000 US$'000 Shares '000 Shares '000 US Cents US Cents
Earnings per share - Basic (37,341) (25,701) 478,793 485,171 (7.80) (5.30)
Earnings per share - Diluted (37,341) (25,701) 478,793 485,171 (7.80) (5.30)
Attributable earnings Weighted average number of Cents per share
shares
Twelve months Twelve months Twelve months Twelve months Twelve months Twelve months
ended ended ended ended ended ended
30 June 2025 30 June 2024 30 June 2025 30 June 2024 30 June 2025 30 June 2024
US$'000 US$'000 Shares '000 Shares '000 US Cents US Cents
Earnings per share - (62,244) (84,496) 484,764 483,657 (12.84) (17.47)
Basic
Earnings per share - (62,244) (84,496) 484,764 483,657 (12.84) (17.47)
Diluted
14. sUBSEQUENT EVENTS
• No material events have been identified between the balance sheet date and the date of this report that will have a
material impact on the financial results presented.
15. CAPITAL COMMITMENTS
• Club Med Senegal phase 2 development US$22.9 million for the period up to February 2027.
• DH4 Bamako development – US$44.7 million up to July 2027.
16. EPRA financial metrics
16a. EPRA earnings
Basis of Preparation
The directors of GRIT Real Estate Income Group Limited ("GRIT") ("Directors") have chosen to disclose additional
non-IFRS measures, these include EPRA earnings, adjusted net asset value, EPRA net asset value, adjusted profit before
tax and funds from operations (collectively "Non-IFRS Financial Information").
The Directors have chosen to disclose:
EPRA earnings to assist in comparisons with similar businesses in the real estate sector. EPRA earnings is a
definition of earnings as set out by the European Public Real Estate Association. EPRA earnings represents earnings
after adjusting for fair value adjustments on investment properties, gain from bargain purchase on associates, fair
• value adjustments included under income from associates, ECL provisions, fair value adjustments on other
investments, fair value adjustments on other financial assets, fair value adjustments on derivative financial
instruments, and non-controlling interest included in basic earnings (collectively the "EPRA earnings adjustments")
and deferred tax in respect of these EPRA earnings adjustments. The reconciliation between basic and diluted
earnings and EPRA earnings is detailed in the table below;
EPRA net asset value to assist in comparisons with similar businesses in the real estate sector. EPRA net asset
value is a definition of net asset value as set out by the European Public Real Estate Association. EPRA net asset
• value represents net asset value after adjusting for net impairment on financial assets (ECL), fair value of
financial instruments, and deferred tax relating to revaluation of properties (collectively the "EPRA net asset
value adjustments"). The reconciliation for EPRA net asset value is detailed in the table below;
Adjusted EPRA earnings to provide an alternative indication of GRIT and its subsidiaries' (the "Group") underlying
business performance. Accordingly, it excludes the effect of non-cash items such as unrealised foreign exchange
• gains or losses, straight-line leasing adjustments, amortisation of right of use land, impairment of loans and
deferred tax relating to the adjustments. The reconciliation for adjusted EPRA earnings is detailed in the table
below; and
Total distributable earnings to assist in comparisons with similar businesses and to facilitate the Group's dividend
policy which is derived from total distributable earnings. Accordingly, it excludes VAT credit utilised on rentals,
• Listing and set-up costs, depreciation, and amortisation, share based payments, antecedent dividends, operating
costs relating to AnfaPlace Mall’s refurbishment costs, amortisation of lease premiums and profits
withheld/released. The reconciliation for total distributable earnings is detailed in the table below.
In this note, Grit presents European Real Estate Association (EPRA) earnings and other metrics which is non-IFRS
financial information.
EPRA Earnings
Six months ended 30 Six months ended 30 Six months ended 30 Six months ended
June 2025 June 2025 June 2024 30 June 2024
Per share Per share
US$'000 US cents per share US$'000 US cents per share
EPRA earnings (14,657) (3.06) (12,933) (2.67)
Total company specific adjustments 3,756 0.78 1,843 0.38
Adjusted EPRA earnings (10,901) (2.28) (11,090) (2.29)
Total company specific distribution 3,216 0.67 6,870 1.42
adjustments
Total distributable earnings (7,685) (1.61) (4,220) (0.87)
available to equity providers
Twelve months ended Twelve months ended Twelve months ended Twelve months ended
30 June 2025 30 June 2025 30 June 2024 30 June 2024
Per share Per share
US$'000 US cents per share US$'000 US cents per share
EPRA earnings (23,391) (4.83) (8,465) (1.76)
Total company specific adjustments 1,976 0.41 221 0.04
Adjusted EPRA earnings (21,415) (4.42) (8,244) (1.72)
Total company specific distribution 9,004 1.86 9,429 1.97
adjustments
Total distributable earnings (12,411) (2.56) 1,185 0.25
available to equity providers
EPRA Asset Values
At 30 June 2025 At 30 June 2025 At 30 June 2024 At 30 June 2024
Per share Per share
US$'000 US cents per share US$'000 US cents per share
EPRA NRV 236,265 48.40 279,006 57.85
EPRA NTA 221,227 45.32 271,862 56.37
EPRA NDV 173,315 35.50 211,938 43.94
Six months ended 30 Six months ended Twelve months ended Twelve months ended
June 2025 30 June 2024 30 June 2025 30 June 2024
Shares ‘000 Shares ‘000 Shares ‘000 Shares ‘000
Weighted-average shares in issue 495,093 495,093 495,093 495,093
Less: Weighted average treasury (16,639) (9,922) (11,006) (15,479)
shares for the year
Add: Issue of new shares 339 - 678 -
Add: Weighted average shares vested 1,702 3,225 3,405 2,682
shares in long-term incentive scheme
EPRA Shares 480,495 488,396 488,170 482,296
Less: Vested shares in consolidated (1,702) (3,225) (3,405) (2,682)
entities
Distribution shares 478,793 485,171 484,765 479,614
Grit presents European Real Estate Association (EPRA) earnings and other metrics which is non-IFRS financial
information.
Six months ended 30 Six months ended 30 Twelve months ended Twelve months ended
Jun 2025 Jun 2024 30 Jun 2025 30 Jun 2024
US$'000 US$'000 US$'000 US$'000
EPRA Earnings Calculated as follows:
Basic Loss attributable to the owners (39,954) (26,764) (65,420) (82,678)
of the parent
Add Back:
- Fair value adjustment on investment 23,425 7,988 42,954 27,930
properties
- Fair value adjustments included 684 (3,775) 819 2,067
under income from associates
- Change in value on other financial - 2,950 (20) 3,700
asset
- Change in value on derivative 2,882 (1,566) 4,393 2,475
financial instruments
- Fair value loss on revaluation of - - - 23,874
previously held equity instruments
- Loss arising from dilution in - - - 12,492
equity instruments
- Changes in fair value of financial - - - (1)
instruments and associated close outs
- Acquisition costs not capitalised (660) 9,062 3,328 9,051
- Goodwill written off - (72) 285
- Deferred tax in relation to the 1,141 (1,973) (1,396) (3,146)
above 6
- Non-controlling interest included (2,175) 1,217 (8,049) (4,514)
in basic earnings 5
EPRA EARNINGS (14,657) (12,933) (23,391) (8,465)
EPRA EARNINGS PER SHARE (DILUTED) (3.06) (2.67) (4.42) (1.76)
(cents per share)
Company specific adjustments
- Unrealised foreign exchange gains 2,941 (2,739) (1,787) (2,943)
or losses (non-cash) 1
- Straight-line leasing and
amortisation of lease premiums (485) 410 (1,999) (890)
(non-cash rental) 2
- Profit or loss on disposal of 15 (18) 66 (17)
property, plant and equipment
- Amortisation of right of use of 34 35 70 69
land (non-cash) 3
- Impairment of loan and other 479 4,863 865 5,209
receivables 4
- Non-controlling interest included 732 (1,207) 4,699 (2,127)
above 5
- Deferred tax in relation to the 40 499 62 920
above 6
Total Company Specific adjustments 3,756 1,843 1,976 221
ADJUSTED EPRA EARNINGS (10,901) (11,090) (21,415) (8,244)
ADJUSTED EPRA EARNINGS PER SHARE (2.28) (2.29) (4.42) (1.72)
(DILUTED) (cents per share)
COMPANY SPECIFIC ADJUSTMENTS TO EPRA EARNINGS
1. Unrealised foreign exchange gains or losses
The foreign currency revaluation of assets and liabilities in subsidiaries gives rise to non-cash gains and losses
that are non-cash in nature. These adjustments (similar to those adjustments that are recorded to the foreign
currency translation reserve) are added back to provide a true reflection of the operating results of the Group.
2. Straight-line leasing (non-cash rental)
Straight-line leasing adjustment and amortised lease incentives under IFRS relate to non-cash rentals over the
period of the lease. This inclusion of such rental does not provide a true reflection of the operational
performance of the underlying property and are therefore removed from earnings.
3. Amortisation of intangible asset (right of use of land)
Where a value is attached to the right of use of land for leasehold properties, the amount is amortised over the
period of the leasehold rights. This represents a non-cash item and is adjusted to earnings.
4 Impairment on loans and other receivables
Provisions for expected credit loss are non-cash items related to potential future credit loss on non- property
operational provisions and is therefore added back to provide a better reflection of underlying property
performance. The add back excludes and specific provisions for against tenant accounts.
5 Non-Controlling interest
Any non-controlling interest related to the company specific adjustments.
6. Other deferred tax (non-cash)
Any deferred tax directly related to the company specific adjustments.
16b. Company distribution calculation
Six months ended 30 Six months ended 30 Twelve months ended 30 Twelve months
Jun 2025 Jun 2025 Jun 2025 ended 30 Jun 2025
US$'000 US$'000 US$'000 US$'000
Adjusted EPRA Earnings (10,901) (11,090) (21,415) (8,244)
Company specific distribution
adjustments
- VAT Credits utilised on rentals 1 1,499 1,488 3,316 2,197
- Listing and set up costs under 396 - 396 5
administrative expenses 2 -
- Depreciation and amortisation 3 181 452 553 1,203
- Share based expenses - (10) - 90
- Dividends (not consolidated out) - - - (205)
- Right of use imputed leases 70 111 89 317
- Amortisation of capital funded 3,233 5,111 6,418 6,755
debt structure fees 4
- Deferred tax in relation to the (3,085) (239) (2,605) (1,651)
above
- Non-controlling interest included 922 (43) 837 718
above
Total company specific distribution 3,217 6,870 9,004 9,429
adjustments
TOTAL DISTRIBUTABLE EARNINGS (BEFORE (7,685) (4,220) (12,411) 1,185
PROFITS WITHELD)
DISTRIBUTABLE INCOME PER SHARE (1.61) (0.87) (2.56) 0.25
(DILUTED) (cents per share)
DIVIDEND PER SHARE (cents share) - - - -
COMPANY DISTRIBUTION NOTES IN TERMS OF THE DISTRIBUTION POLICY
1. VAT credits utilised on rentals
In certain African countries, there is no mechanism to obtain refunds for VAT paid on the purchase price of the
property. VAT is recouped through the collection of rentals on a VAT inclusive basis. The cash generation through
the utilisation of the VAT credit obtain on the acquisition of the underlying property is thus included in the
operational results of the property.
2. Listing and set up costs under administrative expenses
Costs associated with the new listing of shares, setup of new companies and structures are capital in nature and
added back for distribution purposes.
3. Depreciation and amortisation
Non-cash items added back to determine the distributable income.
4. Amortisation of capital funded debt structure fees
Amortisation of upfront debt structuring fees.
OTHER NOTES
The condensed consolidated interim financial statements for the six months period ended 30 June 2025 (“abridged
unaudited consolidated financial statements”) have been prepared in accordance with the measurement and recognition
requirements of International Financial Reporting Standards (“IFRS”), the FCA Listing Rules and the SEM Listing Rules.
The accounting policies are consistent with those of the previous audited annual financial statements.
The Group is required to publish financial results for the six months ended 30 June 2025 in terms of SEM Listing Rule
15.44 and the FCA Listing Rules. The Directors are not aware of any matters or circumstances arising subsequent to the
period ended 30 June 2025 that require any additional disclosure or adjustment to the condensed consolidated interim
financial statements. These unaudited condensed consolidated interim financial statements were approved by the Board
on 12 August 2025.
Copies of the unaudited condensed consolidated interim financial statements, and the statement of direct and indirect
interests of each officer of the Company pursuant to rule 8(2)(m) of the Mauritian Securities (Disclosure Obligations
of Reporting Issuers) Rules 2007, are available free of charge, upon request at the Company's registered address.
Contact Person: Ali Joomun.
Forward-looking statements
This document may contain certain forward-looking statements. By their nature, forward-looking statements involve risk
and uncertainty because they relate to future events and circumstances. Actual outcomes and results may differ
materially from any outcomes or results expressed or implied by such forward-looking statements.
Any forward-looking statements made by, or on behalf of, Grit speak only as of the date they are made, and no
representation or warranty is given in relation to them, including as to their completeness or accuracy or the basis
on which they were prepared. Grit does not undertake to update forward-looking statements to reflect any changes in
its expectations with regard thereto or any changes in events, conditions, or circumstances on which any such
statement is based.
Information contained in this document relating to Grit or its share price, or the yield on its shares, should not be
relied upon as an indicator of future performance.
Any forward-looking statements and the assumptions underlying such statements are the responsibility of the Board of
directors and have not been reviewed or reported on by the Company’s external auditors.
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Dissemination of a Regulatory Announcement, transmitted by EQS Group.
The issuer is solely responsible for the content of this announcement.
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ISIN: GG00BMDHST63
Category Code: FR
TIDM: GR1T
LEI Code: 21380084LCGHJRS8CN05
Sequence No.: 398544
EQS News ID: 2182448
End of Announcement EQS News Service
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