Charter Hall Long Wale Reit · ASX:CLW
Charter Hall Long Wale Reit — Merger or Acquisition (October 2018)
29 slides from Charter Hall Long Wale Reit's merger presentation, Oct 17, 2018
Slide 1: Charter Hall Long WALE REIT Portfolio Acquisition and Equity Raising Presentation
Optima Centre, Perth 17 October 2018 Charter Hall Long WALE REIT Portfolio Acquisition and Equity Raising Presentation Not for release to US wire services or distribution in the United States
Slide 2: Disclaimer
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Disclaimer Important Notice This presentation ("Presentation") has been prepared by and is the sole responsibility of Charter Hall WALE Limited (ABN 20 610 772 202, Australian Financi
Slide 3: Disclaimer
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Disclaimer Financial data All currency amounts are in Australian Dollars ("$") unless otherwise stated. The pro-forma financial information included in this presentation is for illust
Slide 4: Table of contents
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Table of contents 1 Transaction overview 5 Appendix 2 Strategic rationale 6 Reconciliation of portfolio metrics & 17 pro forma balance sheet 3 Portfolio acquisition overview 7 Summary
Slide 5: Transaction overview
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Transaction overview • Charter Hall WALE Limited, as responsible entity of Charter Hall Long WALE REIT (the "REIT"), has entered into agreements for the acquisition of a 100% interest
Slide 6: Strategic rationale
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Strategic rationale Improves portfolio WALE, tenant covenant strength and increases the REIT's rental growth profile 1 2 High quality, long WALE assets Strong tenant covenants Acqui
Slide 7: National Archives, Chester Hill, Sydney
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 National Archives, Chester Hill, Sydney Industrial asset leased to the Commonwealth of Australia with a 20 year WALE Property overview • National Archives facility in Chester Hill, Sy
Slide 8: Optima Centre, Perth
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Optima Centre, Perth 50% interest in high quality office property predominantly leased to the Government of Western Australia Property overview • The property comprises two fully leas
Slide 9: Portfolio impact
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Portfolio impact The Acquisitions enhance CLW’s portfolio metrics Pre Portfolio Post Portfolio acquisition1 Acquisitions acquisition Number of properties 83 2 85 Property valuation (A
Slide 10: Portfolio impact (continued)
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Portfolio impact (continued) The Acquisitions increase the proportion the REIT's portfolio leased to government tenants Major tenants1 59% ASX listed: food / liquor 54% 16% Govn. / go
Slide 11: Portfolio impact (continued)
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Portfolio impact (continued) Combined impact of the Acquisitions and other FY19 property transactions already announced, materially increases the REIT’s portfolio WALE • Post all prev
Slide 12: Equity Raising
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Equity Raising $60 million fully underwritten institutional placement and non-underwritten security purchase plan • The REIT will undertake a fully underwritten institutional placemen
Slide 13: Equity Raising (continued)
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Equity Raising (continued) • Fully underwritten institutional placement to raise approximately $60 million Structure • $20m non-underwritten security purchase plan to eligible investo
Slide 14: Equity Raising (continued)
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Equity Raising (continued) Timetable Event Date 2018 Record date for SPP 16 Oct Trading halt and announcement of the Transaction 17 Oct Institutional Placement bookbuild 17 Oct Tradin
Slide 15: Conclusion
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Conclusion Portfolio of two high quality industrial and office properties, predominantly leased to Government tenants Long term WALE of 15.3 years increasing CLW portfolio WALE to
Slide 16: Appendix
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Appendix 16
Slide 17: Reconciliation of portfolio metrics
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Reconciliation of portfolio metrics Jun-18 pro forma Jun-18 pro forma Transactions $m Jun-18 (pre Portfolio Portfolio Acquisition (post Portfolio announced to date1 Acquisition) acqui
Slide 18: Pro forma balance sheet
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Pro forma balance sheet Post balance Jun-18 pro forma Jun-18 pro forma Placement + debt $m Jun-18 sheet date Acquisitions (post- (pre-transaction) financing adjustments1 transaction)2
Slide 19: Appendix
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Appendix 19
Slide 20: Summary of key risks
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Summary of key risks Transaction specific risks Rental Income Acquisition risk Distributions made by the REIT are largely dependent on the rents received from tenants across the Whils
Slide 21: Summary of key risks
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Summary of key risks Property valuation risk (cont.) Management performance Property values may fall if the underlying assumptions on which the property valuations outlined in this Th
Slide 22: Summary of key risks
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Summary of key risks Funding Interest rates The Responsible Entity may fund future refinancing, capital expenditure and acquisitions from either To the extent that interest rates are
Slide 23: Summary of key risks
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Summary of key risks Forecast Financial Information Pre-emptive rights and other risks associated with joint-ownership agreements The forward looking statements, opinions and estimate
Slide 24: Summary of key risks
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Summary of key risks There are risks associated with any stock market investment. These include, but are not limited to: Macro-economic (cont.) • Dilution risk – as the REIT issues se
Slide 25: Appendix
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Appendix 25
Slide 26: Foreign selling restrictions
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Foreign selling restrictions This document does not constitute an offer of Securities in any jurisdiction in which it would be unlawful. In particular, this document may not be distri
Slide 27: Appendix
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Appendix 27
Slide 28: Glossary
Charter Hall | Charter Hall Long WALE REIT | Portfolio Acquisition and Equity Raising Presentation | 17 October 2018 Glossary Defined term Meaning Balance Sheet Gearing Calculated as the ratio of net drawn debt (excluding unamortised debt establishment costs) to total tangible assets less cash. Capi
Slide 29: www.charterhall.com.au
Sydney Head Office Level 20, No.1 Martin Place Sydney, NSW, 2000 T: +61 2 8651 9000 Melbourne Level 12, 570 Bourke Street Melbourne VIC 3000 T: +61 3 9903 6100 Brisbane Level 22, Northbank Plaza 69 Ann Street Brisbane QLD 4000 T: +61 7 3228 2000 Perth Level 5, St Georges Square 225 St Georges Terrac
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