Projects to boost Calgro revenue.
Category Development
CALGRO M3, a builder specialising in Reconstruction and Development Programme (RDP) housing on Friday announced it had begun its South Hills and Belhar Projects to add another boost to the group’s revenue. Calgro’s overall pipeline is worth about R17bn. Most of the projects within it should be realised in the next six years. This means annual revenue will breach the R1bn mark, CEO Ben Pierre Malherbe said. Its share rose 3.13% to R9.90 on Friday after saying in a trading statement headline earnings per share for the year ended February are expected to be more than 30% higher than the previous year’s. The South Hills and Belhar integrated residential developments would see Calgro build 8,936 residential units. It would build 5,327 housing units in the South Hills precinct and 3,609 units in the Belhar precinct. South Hills is located 6km south of Johannesburg’s CBD and would be undertaken as a partnership with the City of Johannesburg and Standard Bank. The project has an estimated revenue of R1.95bn. The Belhar project lies 2km from the Cape Town International Airport, with an estimated revenue of R1.21bn Mr Malherbe said the group was in a growth phase, with it recently having been given an R812m project appointment in Namibia, its first venture beyond SA’s borders. He also said Calgro M3 was getting more public-sector clients off the back of accelerated infrastructure investments in SA.
Author: Business Day
