Baltic Sea Properties As · OSL:BALT
Baltic Sea Properties As — Shareholder Meeting (June 2022)
45 slides from Baltic Sea Properties As's shareholder meeting presentation, Jun 1, 2022
Slide 1: General meeting / Ordinær generalforsamling
General meeting/ Ordinær generalforsamling 1st of June 2022
Slide 2: Contents
Contents 1. About us 2. Highlights 2021 3. Implications of the war in Ukraine 4. General meeting General meeting/ Ordinær Generalforsmaling 1st of June 2022
Slide 3: About us
About us
Slide 4: About us
About us ◦ Baltic Sea Properties is among The Baltics’ leading real estate investors and developers – owning a portfolio of logistics, BNTP industrial and retail assets. ◦ BSP is a public company on Euronext Growth – Oslo Stock Exchange (OSE, EG: “BALT”) BSP Asset Management BSP Logistics ◦ BSP has
Slide 5: Corporate & Investment Strategy Development
Corporate & Investment Strategy Development Vision, Mission & Values Vision To be the preferred real estate partner and leading investment company in the region. Mission To foster a great team, to provide high quality and sustainable solutions for our partners, thus creating superior long-term value
Slide 6: Corporate & Investment Strategy: Goals & Objectives
Corporate & Investment Strategy Goals & Objectives ◦ To target an average annual IRR (internal rate of return) of 10-15%. ◦ To target an annual dividend of 1.5-3% of NAV (Net Asset Value) ◦ To adopt Industry sustainability & ESG (environment, social, governance) principles before Y/E 2023 ◦ To monit
Slide 7: Corporate & Investment Strategy: Investment Strategy
Corporate & Investment Strategy Investment Strategy Geography Baltic states (primarily) Asset type Industrial & Logistics (not less than 65%) Other/Opportunity (not more than 35%, including retail & neighbourhood shopping centers; office; DIY; hotels; residential; schools, healthcare & other social
Slide 8: Corporate & Investment Strategy: Risk Management
Corporate & Investment Strategy Risk Management RISKS MAJOR FACTORS & ISSUES MITIGATION & MANAGEMENT General Political - War in Ukraine & embargos NATO membership, refocus of transit logistics Economic – Inflation & supply chain Back to back agreements with tenants & suppliers Social - Cost of livin
Slide 9: Corporate & Investment Strategy: Risk Management
Corporate & Investment Strategy Risk Management RISKS MAJOR FACTORS & ISSUES MITIGATION/MANAGEMENT Liquidity Market uncertainty Quality assets and maintaining cash reserves Already extended loan terms with Luminor Finance Tightening financing parameters Long term, multi-bank partnership approach Mai
Slide 10: Key characteristics of Baltic Sea Properties
Key characteristics of Baltic Sea Properties 1 Attractive portfolio of modern and centrally located industrial & logistics properties 2 Long-term contracts with strong tenants - excellent client relationships 3 Strong organic growth pipeline 4 Baltics is highly attractive for industrial & logistics
Slide 11: Rental and run rate budget 2022->
Rental and run rate budget 2022-> Client Segment Tenant 2022 rent budget % of income GLA WAULT Contractual annulised rent BSP LP Logistics Girteka 964 450 14,2 % 17 149 3,8 964 450 BSP LP II Logistics Vinges 1 098 948 16,2 % 21 929 16,6 1 098 948 BSP LP IV Logistics Rhenus 1 092 511 16,1 % 18 226 12
Slide 12: Our development approach
Our development approach Tenant focus Attractive locations Quality buildings Long-term Our built to suite development We acquire land plots in strategic We deliver buildings of high standard We believe in the value of long projects are tailor-made to our locations and secure sufficient land with mod
Slide 13: Development | Track record
Development | Track record Strong development operations Publicly recognised in the industry ■ 13,000 sqm logistics terminal was ■ “Strongest Brand Baltics – handed over to Rhenus Logistics in 2017 Developers Logistics” in 2020 and 2021 ■ Repeat business from Rhenus for a (European Real Estate 500)
Slide 14: Highlights
Highlights ■ Improved financing with Luminor Bank ■ Expansion agreement with Delamode (4 780 m2) ■ Repayment of MEUR 3.7 to Ambolt Mezzanine Sub- ■ Development agreements with DPDgroup (apx. 4 000 Fund m2) ■ Several strategic divestments ■ Strategic decisons on technical upgrades for BREEAM certific
Slide 15: Illustration – Oribalt expansion
Illustration – Oribalt expansion
Slide 16: Projects under development
Projects under development Client Segment Location Expected leaseable area Estimated cost Of which Accrued Yield on cost completion m2 EUR EUR percentage Delamode expansion Distribution logistics Vilnius sep.22 4 876 3,68 1,08 8,60 % DPD Siauliai Distribution logistics Siauliai sep.22 2 306 2,40 0,1
Slide 17: Slide 17
Slide 18: Implications of the war in Ukraine
Implications of the war in Ukraine What we know now What is next in the short term? ■ Humanitarian crisis - More than 2.5 million refugees ■ High level of uncertainty – high inflation pressure, possible stagflation ■ Will possibly affect society more in the Baltics than the Nordics, due to both ■ Tr
Slide 19: Concluding remarks
Concluding remarks ◦ One of the largest and most recognised developers/owners of logistics and industrial space in the Baltics ◦ Significant development track record lays a strong fundament for future growth ◦ Attractive yield spread to Nordics which enables both high cash yield return and value gro
Slide 20: Contacts
Contacts Lars Christian Berger Vilnius office Oslo office CEO – BSP Group +370 652 47287 +47 930 94 319 +47 930 94 319 Didžioji gatvė 10A-29, Vilnius Apotekergata 10, 0180 Oslo 54.6802608217267, 25.288999019388655 59.91535715743743, 10.741997327973516 LCB@balticsea.no Klaipėda office James Andrew Cl
Slide 21: Disclaimer
Disclaimer This presentation has been prepared by Baltic Sea Properties AS in good faith and to our best ability with the purpose to give information about the company’s operations and status. This document must not be understood as an offer or encouragement to invest in the company. The financial f
Slide 22: Annual General Meeting / Ordinær generalforsamling
Annual General Meeting 1st of June 2022 Ordinær general- forsamling 1. juni 2022
Slide 23: Annual General Meeting - Agenda
Annual General Meeting - Agenda 1. Opening of the meeting and registration of shareholders present 2. Election of a chairman of the meeting and a person to co-sign the minutes together with the chairman of the meeting 3. Approval of notice and agenda 4. Approval of the annual accounts and the direct
Slide 24: Ordinær generalforsamling - Agenda
Ordinær generalforsamling - Agenda 1. Åpning av møte og registrering av fremmøtte aksjonærer 2. Valg av møteleder og person til å medundertegne protokollen sammen med møteleder 3. Godkjenning av innkalling og dagsorden 4. Godkjenning av årsregnskapet og årsberetning for regnskapsåret 2021, og dispon
Slide 25: Annual General Meeting - Agenda
Annual General Meeting - Agenda 1. Opening of the meeting and registration of shareholders present Åpning av møte og registrering av fremmøtte aksjonærer 2. Election of a chairman of the meeting and a person to co-sign the minutes together with the chairman of the meeting Valg av møteleder og person
Slide 26: Annual General Meeting - Agenda
Annual General Meeting - Agenda 1. Opening of the meeting and registration of shareholders present 2. Election of a chairman of the meeting and a person to co-sign the minutes together with the chairman of the meeting 3. Approval of notice and agenda 4. Approval of the annual accounts and the direct
Slide 27: Audited financial statements – Group
Audited financial statements – Group Income & profit from property management Jan - Dec 2021 Jan - Dec 2020 Balance end currency 9,9888 10,4703 Average currency 10,1633 10,7258 NOK EUR NOK EUR Rental income 63 803 275 6 277 811 61 871 388 5 768 464 Property expenses ex mng -2 164 003 -212 923 -2 599
Slide 28: Audited financial statements – Group
Audited financial statements – Group Income & profit from property management Jan - Dec 2021 Jan - Dec 2020 Comments Balance end currency 9,9888 10,4703 Income has increased with approximately Average currency 10,1633 10,7258 9% due to: NOK EUR NOK EUR - Acquisition of Klaipeda Business Park - CPI a
Slide 29: Audited financial statements – Group
Audited financial statements – Group Income & profit from property management Jan - Dec 2021 Jan - Dec 2020 Balance end currency 9,9888 10,4703 Average currency 10,1633 10,7258 NOK EUR NOK EUR Rental income 63 803 275 6 277 811 61 871 388 5 768 464 Property expenses ex mng -2 164 003 -212 923 -2 599
Slide 30: Audited financial statements – Group
Audited financial statements – Group Comments Other operating costs: Jan - Dec 2021 Jan - Dec 2020 - Increased legal due to high activity 9,9888 10,4703 - Increased travel expenditure due to lifted covid-19 restrictions. 2021 figures considered 10,1633 10,7258 normalised level Other operating cost N
Slide 31: Audited financial statements – Group
Audited financial statements – Group Income & profit from property management Jan - Dec 2021 Jan - Dec 2020 Comments Balance end currency 9,9888 10,4703 Average currency 10,1633 10,7258 Net realised interest cost and financial NOK EUR NOK EUR expenses: Interest cost loan portfolio: EUR: 852.327 Rent
Slide 32: Audited financial statements - alternative
Audited financial statements - alternative Comments P&L Group (NOK) 31.12.2021 31.12.2020 31.12.2021 31.12.2020 NOK (YTD) NOK (YTD) EUR (YTD) EUR (YTD) Highlights: Direct owner cost: Rental income 63 803 275 61 871 388 6 277 811 5 768 464 - Slight increase in RE/land lease taxes due to KVP Real esta
Slide 33: Audited financial statements Balance sheet – market value adjusted balance sheet
Audited financial statements Balance sheet – market value adjusted balance sheet Assets 31.12.2021 31.12.2020 EUR NOK EUR NOK Investment properties (valuation) 75 440 646 753 561 525 64 700 000 677 428 410 Other financial assets (market value) - 781 487 8 182 403 Other fixed assets 109 924 1 098 009
Slide 34: Audited financial statements: NAV build up 2020-2021
Audited financial statements NAV (VEK) build up – 2020- 2021 Date 31.12.2020 30.03.2021 30.06.2021 30.09.2021 31.12.2021 Comments: EURNOK pr dato 10,47 10,00 10,1717 10,1650 9,9888 Total return (yoy) on value adjusted Currency EUR EUR EUR EUR EUR equity (NAV) is approx. 18%, mainly driven by CPI, yi
Slide 35: 4. Approval of the annual accounts and the directors report for 2021
4. Approval of the annual accounts and the directors 4. Godkjenning av årsregnskapet og årsberetning for report for the financial year 2021, as well as the regnskapsåret 2021, og disponering av årets resultat profit for the year The board proposes the following resolutions: Styret foreslår følgende
Slide 36: Annual General Meeting - Agenda
Annual General Meeting - Agenda 1. Opening of the meeting and registration of shareholders present 2. Election of a chairman of the meeting and a person to co-sign the minutes together with the chairman of the meeting 3. Approval of notice and agenda 4. Approval of the annual accounts and the direct
Slide 37: 5. Approval of remuneration to the board for 2022/2023
5. Approval of remuneration to the board for 5. Fastsettelse av styrets honorar for 2022/2023 2022/2023 The board proposes the following resolutions: Styret foreslår følgende vedtak: “The board's remuneration for 2022/2023 is set at “Styrets honorar for 2022/2023 fastsettes til NOK 300,000 for the c
Slide 38: Annual General Meeting - Agenda
Annual General Meeting - Agenda 1. Opening of the meeting and registration of shareholders present 2. Election of a chairman of the meeting and a person to co-sign the minutes together with the chairman of the meeting 3. Approval of notice and agenda 4. Approval of the annual accounts and the direct
Slide 39: 6. Approval of remuneration to the nomination committee
6. Approval of remuneration to the nomination 6. Fastsettelse av valgkomiteens honorar for committee for 2021/2022 2021/2022 The board proposes the following resolutions: Styret foreslår følgende vedtak: “The Nomination Committee's fee for 2022/2023 is set “Valgkomiteens honorar for 2022/2023 fastse
Slide 40: Annual General Meeting - Agenda
Annual General Meeting - Agenda 1. Opening of the meeting and registration of shareholders present 2. Election of a chairman of the meeting and a person to co-sign the minutes together with the chairman of the meeting 3. Approval of notice and agenda 4. Approval of the annual accounts and the direct
Slide 41: 7. Approval of remuneration to the auditor for 2021
7. Approval of remuneration to the auditor for 7. Godkjennelse av revisors honorar for 2021 2021 The board proposes that the auditor is remunerated Styret foreslår at revisors honorar dekkes etter per invoice. regning.
Slide 42: Annual General Meeting - Agenda
Annual General Meeting - Agenda 1. Opening of the meeting and registration of shareholders present 2. Election of a chairman of the meeting and a person to co-sign the minutes together with the chairman of the meeting 3. Approval of notice and agenda 4. Approval of the annual accounts and the direct
Slide 43: 8. Board authorization to increase the share capital
8. Board authorization to increase the share 8. Styrefullmakt til kapitalforhøyelse capital The board proposes the following resolutions: Styret foreslår følgende vedtak: 1. “Pursuant to section 10-14 of the Private Limited Liability 1. “I henhold til aksjeloven § 10-14 gis styret fullmakt til å Com
Slide 44: Annual General Meeting - Agenda
Annual General Meeting - Agenda 1. Opening of the meeting and registration of shareholders present 2. Election of a chairman of the meeting and a person to co-sign the minutes together with the chairman of the meeting 3. Approval of notice and agenda 4. Approval of the annual accounts and the direct
Slide 45: 9. Board election
9. Board election 9. Styrevalg The board currently consists of the following board Styret består av følgende medlemmer: members: James Clarke (styreleder) James Clarke (chairperson) Bjørn Bjøro (styremedlem) Bjørn Bjøro (board member) John Afseth (styremedlem) John Afseth (board member) John David M
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