CMH to buy 13 properties from its own directors for R745m
They are presently leased by the group on an arm's-length basis.
Combined Motor Holdings (CMH) plans to purchase 13 properties from three of its directors and their respective family trusts for a combined sum of R745 million. The transaction, confirmed in a Sens announcement on Wednesday, was completed with directors BWJ Barritt, SK Jackson, and JD McIntosh on Monday. The properties, which are currently leased on an arm's-length basis, include two rental enterprises in Mount Edgecombe, north of Durban, valued at R165 million.
Additionally, two properties in Umhlanga, adjacent to Mount Edgecombe, and seven properties in Gauteng form part of the deal. The properties were valued at R780 million as of April 2026, making the purchase price a discounted rate of R35 million. CMH currently holds surplus cash reserves that exceed its operational requirements, and the board has decided to utilize this cash to fund the purchase.
The group plans to obtain a bank loan of approximately R350 million, representing 47% of the purchase consideration, within 45 business days. The remaining cash reserves will cover the balance of the purchase consideration. The board, excluding the related directors, unanimously approved the transaction as beneficial for CMH Group and its shareholders, recommending shareholders to vote in favor of the deal at the upcoming general meeting.
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