Cresud Sa · BCBA:CRES
Cresud Sa — BCP Securities Conference October 2020
30 slides from Cresud Sa's conference presentation, October 2020
Slide 1: BCP Securities Conference
BCP Securities Conference Group Latest Events October 2020 1
Slide 2: Corporate Structure
CORPORATE STRUCTURE 100% 100% 33.6% 33.6% 62.4% Farms in Farms in Farms in Farms in ARGENTINA BOLIVIA BRASIL PARAGUAY A través de 100% 50.1% 22.3% 80.7% HOTELS LANDBANK 29.9% 18.9% BRASILAGRO owns CRESUD owns 2,6% of 1,9% of Agrofy IRSA CP COVID-19 Agribusiness operating normally in the region as it
Slide 3: Good Productive Results for 2020 Campaign
GOOD PRODUCTIVE RESULTS FOR 2020 CAMPAIGN RECORD PLANTED AREA Th. Ha CROP BREAKDOWN HISTORICAL RECORD +6.5% (FY 20) 13% 264 Soybean 248 10 Paraguay 11% 8 14 Bolivia Corn 212 213 205 15 51% 200 202 199 Brazil Sugarcane 183 179 24% 95 101 Others 142 141 82 Argentina 74 65 47 46 44 49 131 139 36 37 36
Slide 4: Farmland Sales Track Record
FARMLAND SALES TRACK RECORD USD MILLION Jatobá Partial Sales Alto Taquarí Partial Sales 25 YEARS AVERAGE Date of sale IQ20 (Sep 19) IV20 (Jun 20) IIQ20 (Oct 19) IVQ20 (Jun 20) Farms sold 2.4 Total: 1,134 ha Total: 1,875 ha Total: 85 ha Total: 105 ha Area (hectares) Productive: 893 ha Productive: 1,5
Slide 5: COVID-19 in Argentina
COVID-19 IN ARGENTINA Common Expenses; 20% I M PA C T I N R E A L E S TAT E B U S I N E S S Commercial fund; 8% Parking y Otros; 9% Key money ; 9% Operations closed since March 20th. The company decided to defer billing Variable rent; 21% and collection of base rent and commercial fund from April to
Slide 6: Shopping Malls
SHOPPING MALLS O P E R AT I N G F I G U R E S GLA & OCCUPANCY SAME SHOPPING MALLS SALES Pre COVID-19 COVID-19 (GLA: sqm) Pre COVID-19 (% Var i.a.) 95.0% IIIQ20 Includes 10 days and IVQ the full impact from closure of operations 98.5% 60,5% 94.7% 46,2% 35,1% 32,5% 27,3% 28,7% 29,6% 22,3% 22,7% 24,4%
Slide 7: Shopping Malls' 20 Years Operational Performance
SHOPPING MALLS’ 20 YEARS OPERATIONAL PERFORMANCE 99% 99% CRISIS CRISIS CRISIS… 98% 97% 97% 95% Occupancy 93% 92% 43% 43% 38% 40% 36% 36% 34% 31% 31% 33% Tenant sales ARS/sqm 24% (annual ∆) 20% 21% 15% 17% 15% 11% 7% 7% CPI + GDP -5% (annual ∆) -18% 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2
Slide 8: COVID-19 Malls' Reopening
COVID-19 MALLS´ REOPENING A C C O R D I N G T O I R S A C O M M E R C I A L P R O P E R T I E S ’ P R OT O C O L May June July August September October PORTFOLIO UNDER OPERATION 100% PROTOCOL SOCIAL DISTANCE STRICT SAFETY AND HYGIENE REDUCED HOURS AND COMMUNICATION, TRAINING MEASURES TRAFFIC AND INC
Slide 9: Office Buildings
OFFICE BUILDINGS O P E R AT I N G F I G U R E S STOCK OCCUPANCY BY CLASS Pre COVID-19 COVID-19 (GLA: sqm) 200 Della A+ & A 97,2% 96,6% 97,1% 93,9% 93,0% Paolera +4.8% B 46,2% 47,5% 53,2% 52,4% 45,0% 121,144 IVQ 19 IQ 20 IIQ 20 IIIQ 20 IVQ 20 28,000 Pre COVID-19 COVID-19 LEASES Zetta (USD/sqm/month)
Slide 10: Recent Sales
July 2020 RECENT SALES BOUCHARD 710 OFFICE BUILDINGS Entire building – 12 floors PARTIAL SALES June 2020 July and August 2020 200 DELLA BOSTON PAOLERA TOWER 2 floors 6 floors 2,430 7,482 GLA sqm GLA sqm USD 16.9 mm USD 41.4 mm Price Price 6,940 5,500 USD/sqm USD/sqm ~28,000 ~7,380 Remaining GLA sqm
Slide 11: Active Portfolio Management
ACTIVE PORTFOLIO MANAGEMENT CAPITAL CONTROLS CAPITAL CONTROLS Intercontinental 200 Della Boston 200 Della Paolera 5,000 Paolera Tower Acquisitions Sales 4,500 A+ Offices prices Maipú USD/sqm Rulero Bouchard 710 Intercontinental Boston Tower Bouchard Plaza Bouchard Plaza Dique IV 2,450 Rulero Bouchar
Slide 12: Israel Business Center
ISRAEL BUSINESS CENTER C U R R E N T C O R P O R AT E S T R U C T U R E Directly or indirectly 100% 83.7% 19.1% 100% 5.0%* 68.8% 45.6% 73.8% 44.0% 61.1% 26.0% Energy Tourism Insurance Financial Telecommunications Real Estate Agriculture Technology Supermarkets investments NIS 1,456 mm Sale value 29.
Slide 13: Israel Business Center – IDBD Clal Sale Process
ISRAEL BUSINESS CENTER – IDBD CLAL SALE PROCESS SHARE PRICE EVOLUTION 8.000 SALE PROCESS 6.000 Direct Through Swaps Float 4.000 100% 100% 100% 100% 100% 2.000 Stake sold: 49.8% As of Sep 2020 54.8% 0 44.3% 30/6/2012 30/6/2014 30/6/2016 30/6/2018 30/6/2020 20.0% 24.0% 10.6% 54.8% 34.8% MARKET CAP vs.
Slide 14: Israel Business Center – DIC & Main Subsidiaries
ISRAEL BUSINESS CENTER – DIC & MAIN SUBSIDIARIES SHARES’ PERFORMANCE EVOLUTION AS OF SEPTEMBER 17, 2020 Since control -35.7% Since control -26.5% Since control 24.7% YoY -12.7% YoY -40.3% YoY 8.9% YTD -17.1% YTD -45.9% YTD 27.0% 4.000 40.000 NIS 1,456 mm 2750 Sale value 3.000 30.000 23.5 NIS/share 2
Slide 15: Israel Business Center – Financial Situation
ISRAEL BUSINESS CENTER – FINANCIAL SITUATION JUNE 30, 2020 – USD MILLION IDBD NET DEBT EVOLUTION IDBD AMORTIZATION SCHEDULE 25.4 332 1290 1312 Cash & Equivalents LATEST EVENTS: 923 781 749 739 ▪ Due to IDBD financial situation, IRSA 613 525 560 committed on September 2019 to 78 make three annual con
Slide 16: Israel Business Center – Financial Situation
ISRAEL BUSINESS CENTER – FINANCIAL SITUATION IDBD DEBT RESTRUCTURING PROCESS • The Company had been negotiating with the holders of its 3 series of bonds due to its financial situation (negative NAV) • IDBD Debt amounts to ~NIS 2 billion • Series 9: NIS 910 million (without guarantee) • Series 14: N
Slide 17: Financial Performance
2 M@ CRESUD IRSA soMMercit Financial Performance
Slide 18: Group Liquidity Recent Increase
GROUP LIQUIDITY RECENT INCREASE CALENDAR YEAR 2020 – USD MILLION CASH USES LOCAL NOTES ISSUANCES SALE OF REAL ESTATE ASSETS DEBT CANCELLATION Jan-20 USD 51.4 MM Jun-20 USD 83.0 MM Ago-20 USD 25.0 MM • Entire “Bouchard 710” building for USD 87.2 MM • ARS BADLAR + 6.5% • USD linked 3.5% • USD linked 2
Slide 19: Financial Metrics
FINANCIAL METRICS JUNE 30, 2020 - USD MILLION 90.4 Adjusted EBITDA FY204 107.9 Net Operating Income FY204 52.5 Adjusted FFO FY204 NAV1 -22% 15 75 160 339 VALUATION RATIOS June 2020 780 CAP RATE (NOI/EV) 18% 1.672 1.718 1.333 EV/EBITDA 6.5x 642 P/FFO 3.8x P/NAV 0.2x Shopping Malls Offices5 Land reser
Slide 20: Debt Profile
DEBT PROFILE JUNE 30, 2020 - USD MILLION Consolidated Net 344.6 Debt2 128.6 Subsequent Sales Office 3.8x Net Debt/EBITDA Description Amount Maturity 140.0 Series IV Cancellation 20.6% Loan to Value3 Short-term debt 23.0 <360 days 2020 Series IV (local) 140.0 Sep 2020 AMORTIZATION SCHEDULE AFTER SERI
Slide 21: IRSA – Net Asset Value
IRSA – NET ASSET VALUE AS OF JUNE 30, 2020 - USD MILLION 1,536 GAV 1,136 NAV 26.7% LTV NAV 368 410 27 58 1,536 1,083 1,136 1 2 IRCP NAV Hotels Banco Hipotecario Landbank & Others Gross Asset Value Net Debt Net Asset Value 1. Book value as of June 30, 2020 2. Book value as of June 30, 2020. “Others”
Slide 22: Argentina Central Bank Resolution
ARGENTINA • Central Bank (BCRA) Communication “A” 7106 restricts access to the Foreign Exchange Market to obtain US dollars for the payment of debt CENTRAL BANK maturities. • Companies with capital maturities between 10.15.2020 and 03.31.2021 RESOLUTION had to submit to the BCRA a detail of a refina
Slide 23: IRSA's Series I Exchange
IRSA’s SERIES I EXCHANGE – USD 181.5mm – 10% – Nov 20 For each USD 1 OPTION A presented in exchange, OPTION B you will receive the … at least USD 0.50 in cash and the rest with a new …Early bird (until 10/30/20) 2% in ARS and a new issuance (SERIES VIII) accrued interest until issuance (SERIES IX) s
Slide 24: IRSA's Series I Exchange – Scenarios
IRSA’s SERIES I EXCHANGE – USD 181.5mm – 10% – Nov 20 SCENARIOS* OPTION A OPTION B Base scenario according to the SERIES IX USD 72.6 USD 72.6 USD 36.3 80% SERIES VIII 50% Cash 90% 50% 01 SERIES IX subscription notifications received from some bondholders. 20% USD 18.2 USD 72.6 USD 90.8 50% SERIES VI
Slide 25: Cresud's Series XXIV Exchange
CRESUD’s SERIES XXIV EXCHANGE – USD 73.6mm – 9% – Nov 20 For each USD 1 OPTION A presented in exchange, OPTION B you will receive the … at least USD 0.50 in cash and the rest with a new …Early bird (until 10/30/20) 2% in ARS and a new issuance (SERIES XXXI) accrued interest until issuance (SERIES XX
Slide 26: Cresud's Series XXIV Exchange – Scenarios
CRESUD’s SERIES XXIV EXCHANGE – USD 73.6mm – 9% – Nov 20 SCENARIOS OPTION A OPTION B Base scenario according to the SERIES XXXII USD 29.4 USD 29.4 USD 14.8 80% SERIES XXXI 50% Cash 90% 50% 01 SERIES XXXII subscription notifications received from some bondholders. 20% USD 7.4 USD 29.4 USD 36.8 50% SE
Slide 27: Exchange Offer Additional Information
IRSA’s SERIES I & CRESUD’s SERIES XXIV EXCHANGE OFFER ADDITIONAL INFORMATION Early Bird IRSA Series IX & Cash CRESUD Series XXXII suscription for IRSA’s Exchange closure Settlement 2% ARS Series IX* Oct 30, 2020 Nov 5, 2020 ~ Nov 11, 2020 8 PM BA time 8 PM BA time * Public auction date will be infor
Slide 28: IRSA Stand Alone Debt
IRSA STAND ALONE DEBT BY C A L E N D A R Y E A R A S O F S E P T E M B E R 3 0 , 2 0 2 0 - U S D M I L L I O N CURRENT SCHEME 207.8 Description Amount Maturity DOES NOT INCLUDE INTERCOMPANY LOAN WITH IRCP Short term debt 22.0 <360 days SERIES I 70.7 To be exchanged for 45.9 Series I 181.5 Nov 2020 U
Slide 29: Cresud Stand Alone Debt
CRESUD STAND ALONE DEBT BY C A L E N D A R Y E A R A S O F S E P T E M B E R 3 0 , 2 0 2 0 - U S D M I L L I O N CURRENT SCHEME 253.3 Description Amount Maturity 138 SERIES XXIV 103.3 Banking Debt 101.4 to be exchanged for 7.3 Series XXIV 73.6 Nov 2020 USD 73.6 2020 2021 2022 2023 Series XXVI 13.1 J
Slide 30: Thanks!
2 M@ CRESUD IRSA soMMercit Thanks!