Centuria Industrial Reit · ASX:CIP
Centuria Industrial Reit — Merger or Acquisition (November 2020)
26 slides from Centuria Industrial Reit's merger presentation, Nov 17, 2020
Slide 1: Strategic Acquisitions and Equity Raising
STRATEGIC ACQUISITIONS AND EQUITY RAISING A S X: CIP 17 November 2020 For personal use only Centuria Industrial REIT CENTURIA INDUSTRIAL REIT ASX: CIP 1 45 FULTON DRIVE, DERRIMUT VIC Not for release to U.S. wire services or distribution in the United States
Slide 2: Transaction overview
Transaction overview • Centuria Property Funds No.2 Limited (CPF2L), as Responsible Entity of Centuria Industrial REIT (CIP), has entered into agreements to acquire For personal use only three high quality cold store assets (the Acquisitions) for $171.1m (excluding costs) - The purchase price repres
Slide 3: Investment highlights
Investment highlights • Acquisition of three cold store assets that are strategically located in core industrial markets across the eastern seaboard, with good For personal use only connectivity to road distribution networks − 67-69 Mandoon Road, Girraween NSW provides a 4.9 ha land holding, in the
Slide 4: 67-69 Mandoon Road, Girraween NSW
67-69 Mandoon Road, Girraween NSW • The temperature controlled asset will be acquired via a sale and leaseback to Bidfood For personal use only NSW, a leading wholesale foodservice distributor • The acquisition comprises a 7 year triple-net lease with fixed annual rent reviews at 3%, providing a sec
Slide 5: Fulton Drive, Derrimut VIC
45 Fulton Drive, Derrimut VIC • The asset consists of a 11,068 sqm high quality refrigerated distribution centre providing For personal use only freezer warehousing which operates down to -25 degrees Celsius together with cross dock loading and administration office • The asset comprises an income s
Slide 6: 60-80 Southlink Street, Parkinson QLD
60-80 Southlink Street, Parkinson QLD • The asset consists of a 8,413 sqm state of the art refrigerated distribution centre, providing For personal use only freezer warehousing which can operate to -25 degrees Celsius together with cross dock loading and administration office • The asset comprises a
Slide 7: Structural tailwinds for the cold storage and industrial real estate sector
CENTURIA MANAGEMENT Structural tailwinds for the cold storage sector and the broader industrial real estate sector For personal use only ONLINE RETAIL SALES AND GROWTH BY TYPE 1 ($m) 100% 3,500 Current environment accelerating the consumer shift to online 90% retail providing structural tailwinds to
Slide 8: Key metrics post Equity Raising
Key metrics post Equity Raising1 For personal use only PORTFOLI O FI NANCI AL No less than 59 $2.3bn 17.5c 17.0c 5.6% High quality assets Portfolio value FY21 Distribution Forecast FY21 FY21 FFO per per unit guidance3 DPU yield4 unit guidance3 96.8% 9.7yrs 31.4% 32.5% 5.0x Portfolio occupancy2 Portf
Slide 9: Australia's largest domestic pure play industrial REIT
Australia’s largest domestic pure play industrial REIT PORTFOLIO SNAPSHOT FY21 YTD1 For personal use only AUSTRALIAN LISTED PEERS2 Number of assets # 59 Book value $bn 2.30 2.6 100% WACR % 5.66 2.4 GLA sqm 1,061,470 2.2 2.0 75% Average asset size sqm 17,991 1.8 PORTFOLIO WEIGHTING3 1.6 1.4 WA 8% 1.2
Slide 10: Sources and uses of proceeds
Sources and uses of proceeds For personal use only SOURCES OF PROCEEDS $ MILLION Placement proceeds 125.0 Debt drawdown 58.7 Total sources 183.7 USES OF PROCEEDS $ MILLION Investment properties 171.1 Stamp duty 9.5 Offer and other costs 3.0 Total uses 183.7 • The Transaction consists of the acquisit
Slide 11: Equity raising details
Equity raising details For personal use only Equity raising • Fully underwritten institutional placement to raise approximately $125.0 million • Issue price of $3.06 per unit, representing a: - 2.9% discount to the last close price of $3.15 per unit on 16 November 2020 Pricing - 3.3% discount to the
Slide 12: Equity raising indicative timetable
Equity raising indicative timetable For personal use only KEY EVENT DATE1 Trading halt and announcement of the Acquisitions and Equity Raising Tuesday, 17 November 2020 Placement bookbuild Tuesday, 17 November 2020 Trading re-commences Wednesday, 18 November 2020 Settlement of units issued under the
Slide 13: Appendices
For personal use only Appendices Appendix A – Pro forma balance sheet A S X: CIP Appendix B – Key risks Appendix C – International offer restrictions Appendix D – Summary of underwriting agreement CENTURIA INDUSTRIAL REIT ASX: CIP 13 60-80 SOUTHLINK STREET, PARKINSON QLD
Slide 14: A – Pro forma balance sheet
Appendix A – Pro forma balance sheet For personal use only POST-BALANCE DATE PRO FORMA PRO FORMA $ MILLION 30 JUNE 2020 ACQUISITIONS & PLACEMENT ADJUSTMENTS1 30 JUNE 2020 (PRE) 30 JUNE 2020 (POST) Cash 17.1 17.1 17.1 Investment properties 1,602.4 522.6 2,125.0 171.1 2,296.1 Goodwill 10.5 10.5 10.5 O
Slide 15: B – Key risks
Appendix B – Key risks CIP property investments and management operations are by their nature exposed to specific market risks and those of a general nature. Each of these risks may have some kind of impact on the financial performance of CIP and consequently the value For personal use only of inves
Slide 16: B – Key risks (cont'd)
Appendix B – Key risks (cont’d) Funding For personal use only Economic, political, capital and credit market conditions influence whether CIP will be able to raise funds on favourable terms, if at all, in order to proceed with future commercial activities. These conditions are in flux due to COVID-1
Slide 17: B – Key risks (cont'd)
Appendix B – Key risks (cont’d) Market risks For personal use only Investors should be aware that the market price of CIP units and the future distributions made to CIP unitholders may be influenced by a number of factors that are common to most listed investments, some of which are beyond CIP’s con
Slide 18: B – Key risks (cont'd)
Appendix B – Key risks (cont’d) Fixed nature of costs For personal use only Many costs associated with the ownership and management of property assets are fixed in nature. The value of assets may reduce if the income from the asset declines and these fixed costs remain unchanged. Insurance CIP purch
Slide 19: C – International offer restrictions
Appendix C – International offer restrictions This document does not constitute an offer of new units ("Units") of CIP in any jurisdiction in which it would be unlawful. In particular, this document may not be distributed to any person, and the Units may not be offered or sold, in any country outsid
Slide 20: C – International offer restrictions (cont'd)
Appendix C – International offer restrictions (cont’d) New Zealand For personal use only This document has not been registered, filed with or approved by any New Zealand regulatory authority under the Financial Markets Conduct Act 2013 (New Zealand) (the "FMC Act"). The Units are not being offered o
Slide 21: C – International offer restrictions (cont'd)
Appendix C – International offer restrictions (cont’d) United States For personal use only This document does not constitute an offer to sell, or a solicitation of an offer to buy, securities in the United States. The Units have not been, and will not be, registered under the US Securities Act of 19
Slide 22: D – Summary of underwriting agreement
Appendix D – Summary of underwriting agreement Centuria Property Funds No.2 Limited (CPF2L) as responsible entity for the Centuria Industrial REIT (CIP) has entered into an underwriting agreement with J.P. Morgan Securities Australia Limited and Moelis Australia Advisory Pty Ltd as underwriters For
Slide 23: D – Summary of underwriting agreement (cont'd)
Appendix D – Summary of underwriting agreement (cont’d) 24) the ASX makes any official statement to any person, or indicates to CPF2L, or the Underwriters that Units will be suspended from quotation, CIP will be removed from the official list of ASX, or that quotation of all of the Placement Units w
Slide 24: Disclaimer
Disclaimer For personal use only This presentation has been prepared by Centuria Property Funds No. 2 Limited (ACN 133 363 185) (CPF2L) as responsible Underwriting Group accept any liability (including, without limitation, any liability arising from fault or negligence) for any loss entity of Centur
Slide 25: Disclaimer (cont'd)
Disclaimer (cont’d) For personal use only The distribution of this presentation to persons or in jurisdictions outside Australia may be restricted by law and any person into whose possession this document comes should seek advice on and observe those restrictions. Any failure to comply with such res
Slide 26: For personal use only
For personal use only CENTURIA INDUSTRIAL REIT ASX: CIP 26
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