Tunga Fund distributes N$21.6 million to GIPF
Old Mutual Investment Group Namibia's alternative investments division has distributed N$21.6 million to the Government Institutions Pension Fund (GIPF) through the Tunga Real Estate Fund, bringing total distributions to the pension fund to more than N$265 million since the fund's inception.
The distribution marks another milestone in the lifecycle of the Tunga Real Estate Fund, which was established in September 2011. GIPF, the fund's anchor investor, received N$21 663 932.40, representing its 99% shareholding in the fund. The remaining proceeds were distributed to Old Mutual Investment Group Namibia (OMIGNAM), which holds a 1% co-investment stake.
Speaking at a cheque presentation ceremony, OMIGNAM managing director Sepo Haihambo said the distribution demonstrates the role alternative investments can play in supporting economic development while generating returns for investors.
"This milestone reflects how long-term savings can be translated into real, productive investments that support Namibia's development while still delivering returns for investors. Alternative investments require discipline, strong governance and a clear sense of purpose, and it is through this approach that we are able to deploy capital with both intent and impact," she said.
The Tunga Real Estate Fund has built a diversified property portfolio across Namibia, with investments in Arandis, Windhoek, Otjiwarongo, Grootfontein, Ondangwa, Oshakati, Oshikango and Rundu.
To date, the fund has made eight investments spanning shopping centres, office developments and affordable housing projects. Two investments, the Rehoboth Shopping Centre and the KwaNkhomo Housing Development in Kuisebmond, Walvis Bay, have been fully exited.
According to OMIGNAM, the fund's investments are structured through a combination of debt and equity, allowing for periodic capital repayments over time. While six investments remain active, a substantial portion of the debt has already been repaid.
Haihambo said the structure highlights the importance of careful planning and active management in unlisted investments.
"These investments are long-term in nature and require careful structuring, rigorous due diligence and active management. Our approach has been to translate complex opportunities into investments that remain resilient and continue to deliver sustainable value over time, both for investors and for the broader economy," she said.
Tunga Real Estate Fund chairperson Sara Katiti said the latest distribution reflects the fund's governance framework and long-term investment strategy.
"As the board, our role is to ensure that the fund remains disciplined, well-governed and aligned to its mandate. This distribution reflects that consistency, where sound oversight and strong partnerships translate into tangible value for investors, while continuing to support development across Namibia," she said.
GIPF chief executive officer Martin Inkumbi said the fund has demonstrated how strategic partnerships can generate both financial returns and developmental outcomes.
"We are proud of what has been achieved through the Tunga Real Estate Fund, which stands as clear evidence that disciplined investment, strong governance and strategic partnerships can deliver both sustainable financial returns and meaningful developmental impact," he said.
Inkumbi said GIPF remains committed to investing in opportunities that support members' savings while contributing to Namibia's long-term economic growth and social progress.
Beyond investor returns, the fund has also delivered socio-economic benefits. OMIGNAM said 296 houses have been constructed through projects financed by the fund, while 538 erven have been serviced.
The developments have also contributed to local economic activity through job creation and municipal revenue generated from rates and taxes.
Katiti said the fund's objectives extend beyond financial performance.
"This fund has always been about more than returns. It reflects what can be achieved when capital is invested with purpose, supporting both financial sustainability and real outcomes in communities," she said.
The fund has drawn a total of N$543 million from investors since inception. More than N$268 million has already been returned to investors, while the remaining portfolio is valued at N$462 million.
Haihambo said the latest distribution underscores the value of disciplined capital deployment and long-term partnerships.
"This milestone is a reminder of what is possible when capital is deployed with discipline, expertise and a shared purpose. It is through strong partnerships and consistent execution that meaningful, measurable outcomes are delivered, and that remains central to our commitment at Old Mutual Investment Group Namibia," she said.
