Cvc Limited · ASX:CVC
Cvc — Investor Presentation (March 2023)
33 slides from Cvc's investor presentation, Mar 16, 2023
Slide 1: CVC Notes 2 Investor Presentation
ASX:CVC For personal use only CVC Notes 2 (ASX: CVCHA) INVESTOR PRESENTATION March | 2023
Slide 2: Disclaimer
DISCLAIMER For personal use only IMPORTANT NOTICE FINANCIAL AMOUNTS This Presentation (Presentation) has been prepared and issued by CVC Limited ACN 002 700 361 (CVC) on 16 March 2023. All dollar values are in Australian Dollars (A$) and financial data is presented as at the date of this Presentatio
Slide 3: Table of Contents
TABLE OF CONTENTS For personal use only Introduction 4 Company Overview 5 Financial Information 11 Offer Overview 17 Key Risks 22 Artist Impression - Kirra Appendix 1: Property 25 Investments Appendix 2: Board & 31 Management Team Artist Impression - Kirra Artist Impression - Kirra CVC Notes 2 Inves
Slide 4: Introduction
INTRODUCTION For personal use only CVC Limited (“CVC” or the “Company”) is offering 300,000 redeemable, unsecured, non-convertible notes (“CVC Notes 2”) with an aggregate Face Value of $30m, with the ability to raise more or less, to maintain balance sheet strength, enabling the Company to take adva
Slide 5: CVC Company Overview
For personal use only CVC Company Overview
Slide 6: About CVC
ABOUT CVC For personal use only CVC Limited is an ASX listed investment company with a strong focus on deploying capital into high conviction real estate opportunities Capital Preservation & Seeking to Generate Attractive Returns Investment approach Property focus Capital and risk Highly experienced
Slide 7: Overview of CVC Portfolio – Dec 2022
OVERVIEW OF CVC PORTFOLIO – 31 DEC 2022 Property investments represent the primary allocation within the CVC Portfolio For personal use only Direct Property • Relates to direct exposure, including in ordinary equity, preference equity, joint ventures and options to acquire an interest in direct prop
Slide 8: CVC – Property Investments
CVC – PROPERTY INVESTMENTS Property investments include those held directly by CVC and property backed lending For personal use only Direct Property Investments KEY INVESTMENT POSITIONS STATUTORY EQUITY VALUE IMPACT OF VALUATION Investment Thematic (DEC -22)^ ASSESSMENT* • Understand downside risk a
Slide 9: CVC – Property Investments: Property Backed Lending
CVC – PROPERTY INVESTMENTS Property investments include those held directly by CVC and property backed lending For personal use only Property Backed Lending Investments Investment Thematic DEBT TYPE TYPICAL LVR RANGES • Registered mortgages over real estate assets with guarantees from borrowers have
Slide 10: CVC – Non-Property Investments
CVC – NON-PROPERTY INVESTMENTS Non-property investments will remain a small portion of the portfolio going forward For personal use only Investment Thematic • Focus on small number of concentrated investments • It is anticipated that non-property investments will remain a relatively small STATUTORY
Slide 11: CVC Financial Information
For personal use only CVC Financial Information
Slide 12: Pro-Forma Statement of Financial Position
PRO-FORMA STATEMENT OF FINANCIAL POSITION Set out below is a summary of CVC’s historical consolidated statement of financial position, together with the pro-forma adjustment that assumes $30m - $50m is raised under the Offer For personal use only PRO FORMA 31 DEC 2022 PRO FORMA 31 DEC 2022 • $264m t
Slide 13: Impact of Market Value Assessments
IMPACT OF MARKET VALUE ASSESSMENTS After factoring in the impact of market value assessments, pro forma gearing is markedly lower than reported metrics For personal use only Group Net Assets (A$M) - $30M Offer size • In accordance with the accounting standards, development Material asset backing pro
Slide 14: Pro Forma Ranking
PRO FORMA RANKING Based on CVC’s reviewed financial statements as at 31 December 2022, as well as showing the pro forma impact of a $30m - $50m issue of CVC Notes 2 For personal use only PRO FORMA HISTORICAL 31 DEC 22 PRO FORMA HISTORICAL 31 DEC 22 RANKING EXISTING CVC DEBT OBLIGATIONS 31 DEC 22 (RE
Slide 15: Historical Financial Performance
HISTORICAL FINANCIAL PERFORMANCE Set out below is a summary of CVC’s historical consolidated statement of financial performance for the years ended 30 June 2021, 30 June 2022 and half year ended 31 December 2022 For personal use only 30 JUN 2021 30 JUN 2022 31 DEC 2022 A$ (000’S) (AUDITED) (AUDITED)
Slide 16: Historical Cash Flow Statement
HISTORICAL CASH FLOW STATEMENT Set out below is a summary of CVC’s historical consolidated statement of cash flows for the years ended 30 June 2021, 30 June 2022 and half year ended 31 December 2022 For personal use only 30 JUN 2021 30 JUN 2022 31 DEC 2022 A$ (000’S) (AUDITED) (AUDITED) (AUDITED) ST
Slide 17: CVC Offer Overview
For personal use only CVC Offer Overview
Slide 18: CVC Note Offer Overview
CVC NOTE 2 OFFER OVERVIEW For personal use only • Offer of fully paid, redeemable, unsecured, non-convertible notes (“CVC Notes 2”) Offer • Includes a Reinvestment Offer under which Eligible CVCG Holders can apply to reinvest some or all their CVCG into Notes Issuer • CVC Limited (ASX: CVC) CVC is o
Slide 19: Offer Structure and Notes Target Market
OFFER STRUCTURE AND NOTES TARGET MARKET For personal use only • Reinvestment Offer, under which Eligible CVCG Holders may elect to exchange their CVCG for CVC Note 2 on a 1:1 basis and receive the following in cash for each CVG exchanged for CVC Notes 2: − $2.00 per CVCG; plus − Any outstanding and
Slide 20: Options for Eligible CVCG Holders
OPTIONS FOR ELIGIBLE CVCG HOLDERS For personal use only Key difference between CVC Notes 2 and CVCG Options available to eligible CVCG Holders Reinvest some or all your CVCG in CVC Notes 2 by participating in Item CVCG CVC Notes 2 1 the Reinvestment Offer Certane CT Pty Ltd (formerly known as AET Me
Slide 21: Key Dates and Contacts
KEY DATES AND CONTACTS For personal use only KEY DATES FOR THE OFFER KEY DATES FOR CVC NOTES 2 The first interest Lodgment of the Prospectus with ASIC and the ASX 16 March 2023 payment date is 30 Bookbuild commences to determine the Margin 16 March 2023 June 2023 and then Interest Payment Dates quar
Slide 22: CVC Key Risks
For personal use only CVC Key Risks
Slide 23: Key Risks
KEY RISKS For personal use only There are risks associated with CVC’s business and risk associated with an investment in the Notes, many of which are outside the control of CVC. The key risks outlines in this presentation are not exhaustive and are in summary form only – for a full list of risk fact
Slide 24: Key Risks
KEY RISKS For personal use only There are risks associated with CVC’s business and risk associated with an investment in the Notes, many of which are outside the control of CVC. The key risks outlines in this presentation are not exhaustive and are in summary form only – for a full list of risk fact
Slide 25: Appendix 1: Property Investments
For personal use only CVC Appendix 1: Property Investments
Slide 26: CVC – Property Investments
CVC – PROPERTY INVESTMENTS Property investments include those held directly by CVC and property backed lending For personal use only Significant Direct Property Investments – Current Donnybrook Road, Donnybrook, VIC • Purchased two sites in 2015 and 2016 in joint venture with Villa World Limited (no
Slide 27: CVC – Property Investments
CVC – PROPERTY INVESTMENTS Property investments include those held directly by CVC and property backed lending For personal use only Significant Direct Property Investments - Current Lake Orr Drive, Burleigh Waters, QLD • Contracted to purchase 5.4Ha of development land in Gold Coast for $45m (CVC 6
Slide 28: CVC – Property Investments
CVC – PROPERTY INVESTMENTS Property investments include those held directly by CVC and property backed lending For personal use only Significant Direct Property Investments - Current Pumicestone Road, Caboolture, QLD • Purchased 15Ha site in 2015 for $5.35m (60% CVC) • Completed Ampol anchored trave
Slide 29: CVC – Property Investments: Property Backed Lending
CVC – PROPERTY INVESTMENTS Property investments include those held directly by CVC and property backed lending For personal use only Selected Property Backed Lending Investments - Current Hawksburn, VIC ($4.5m) • Registered 2nd mortgage mezzanine investment to assist in the construction of 13 luxury
Slide 30: CVC – Property Investment Case Studies
CVC – PROPERTY INVESTMENT CASE STUDIES CVC has a strong track record of creating value in property investments For personal use only Driving value through… ✓ Planning ✓ Rezoning ✓ Developing ✓ Sourcing tenant commitments East Bentleigh, VIC • Purchased 4.3Ha industrial site in partnership with MAKE
Slide 31: Appendix 2: Board and Management Team
For personal use only CVC Appendix 2: Board and Management Team
Slide 32: Board & Management
BOARD & MANAGEMENT Experienced and well credentialed Board and Management Team For personal use only Craig Mark John Ian Treasure Avery Leaver Campbell Executive Managing Executive Independent Chairman Director Director Director Craig has over 35 years’ experience Mark is an experienced property Joh
Slide 33: Contact Details
For personal use only Contact Details CVC Group Suite 40.04 Level 40 Governor Phillip Tower 1 Farrer Place Sydney NSW 2000 P (02) 9087 8000 W www.cvc.com.au