Fortress subcommittee defines full scope of work following successful meetings with asset managers

Johannesburg, 15 November 2018 – The subcommittee of the board of directors of Fortress REIT Ltd (JSE: FFA and FFB), which was set up on September 6, has successfully completed detailed consultations with various asset managers and other stakeholders to define the scope of work needed for it to complete its mandated review.


This review follows an August 8 letter from ten asset managers calling for a forensic investigation into certain allegations that have been made in various analysts’ reports about Fortress and other companies in which Fortress is or was invested.


The three independent non-executive directors undertaking the review have engaged PwC to assist in their work and an interim update will be provided to shareholders at the Fortress pre-close webcast on December 4. The scope of work will be divided into various work streams that can be tackled separately but simultaneously.


The key focus will be on investigating and addressing any allegations made and concerns expressed in relation to (1) market manipulation and insider trading and (2) related-party transactions and conflicts of interest.


The eventual outcome of the completed review, which will be based on information available to Fortress from its records, or records made available to it by its directors and senior management and other third parties, will be made public.


In another move to improve transparency and ensure the highest levels of corporate governance, Fortress has set up an independent whistleblowers’ hotline whereby submissions can be routed directly and exclusively to the members of the subcommittee and the chairman of the social & ethics committee.


For access to the hotline and for more details on the agreed scope of work of the subcommittee go to:


• Whistleblowers’ hotline: toll-free number 0802 028 887; or to fortress@tip-offs.com


• The defined scope of the investigation has been posted on https://fortressfund.co.za/company-announcements