Enbd Reit (ceic) Plc · NASDAQDUBAI:ENBDREIT
Enbd Reit (ceic) — Investor Presentation (March 2019)
44 slides from Enbd Reit (ceic)'s investor presentation, Mar 31, 2019
Slide 1: ENBD REIT
ENBD Managed by Emirates NBD Asset Management
Slide 2: Investor Presentation as at 31st March 2019
Investor Presentation as at 31st March 2019 www.enbdreit.com
Slide 3: Presenting team
Presenting team Anthony Taylor Asif Siddique Julia Ward-Osseiran Head of Real Estate Chief Financial Officer Investor Relations Officer ENBD REIT ENBD REIT ENBD REIT www.enbdreit.com ENBD REIT Investor Presentation as at 31st March 2019 3
Slide 4: Snapshot
Snapshot As at 31st March 2019 NAV Offices: 64% Al Thuraya 1 Binghatti Terraces Uninest Portfolio property USD 270m Residential: 18% value NAV per share USD 450m USD 1.08 Alternative: 18% Burj Daman Arabian Oryx House South View School WAULT 3.48 years Occupancy Properties LTV* Office: 1.80 years 86
Slide 5: Payments to shareholders
Payments to shareholders Payments made to shareholders relating to USD USD per share % of NAV % of share price FY ending 31st March 2019 Interim dividend* 6,868,836 0.0270 2.41% 3.60% Final dividend** 5,399,754 0.0215 2.00% 3.81% Payments made to % of NAV % of share price shareholders relating to US
Slide 6: Update on Share Buyback Programme
Update on Share Buyback Programme as at 31st March 2019 4,500,000 Number of shares % completion 4,050,000 1,151,340 26% to buy 3,600,000 Shares purchased 3,250,000 73.84% 3,150,000 Balance to buy 1,151,340 26.16% 2,700,000 No of Shares 2,250,000 Number of shares purchased 3,250,000 1,800,000 3,250,0
Slide 7: Post-listing performance
Post-listing performance Property Dividend % NAV per Dividend Dividend % Date portfolio NAV on Share Share price share per share on NAV* value Price 31st Mar 2019 USD 450m USD 270m USD 1.08 USD 0.0215** 2.00% 3.81% USD 0.57 31st Dec 2018 USD 456m USD 284m USD 1.11 - - - USD 0.64 30th Sep 2018 USD 45
Slide 8: NAV highlights
NAV highlights 31st March 2019 Property Portfolio Value USD 450m Cash USD 16m Prepayments & Accruals USD (15m) Gross Asset Value (GAV) USD 451m NAV per share USD 1.08 Net Asset Value (NAV) USD 270m Loan-to-Value (LTV) 40% Gross rental yield on NAV 14.13% Net Rental yield on NAV˄ 4.58% ˄ Financial YT
Slide 9: Capital structure
Capital structure as at 31st March 2019 250 Finance terms: 45 7% undrawn 200 13 40% ENBD: 45 150 • 3mth EIBOR + 3.14% Fully USD m 60% drawn Standard Chartered: 100 LTV 47% 40% drawn 134 • 3mth LIBOR + 2.15% 50 Equity Debt 0 Equity Debt LTV Lender ENBD drawn SC drawn * ENBD undrawn SC undrawn USD 270
Slide 10: Overview
Overview
Slide 11: What is ENBD REIT?
What is ENBD REIT? A long and consistent track record Most Innovative ENBD REIT (CEIC) PLC (‘ENBD REIT’) is a real estate investment trust (REIT) that was Islamic Real Estate formed by Emirates NBD Asset Management (the Fund Manager) to invest in a Investment Trust UAE 2019 diversified portfolio of
Slide 12: History
History ENBD REIT’s track record dates back to 2005 Launch of Listing on Acquisition Emirates Acquisition Nasdaq Acquisition of Souq Real Estate Acquisition of Arabian Acquisition Dubai of South Extra Retail Fund of DHCC 49 Oryx House of Remraam 23rd March View School Centre Jun 2005 Apr 2007 Oct 20
Slide 13: Investment strategy
Investment strategy Which sectors are we focusing on? Which areas are we focusing on? Focus is on good quality The portfolio aims to be properties in the following diversified across the sectors: UAE: Office 50-60% Dubai 50-75% Residential 15-20% Alternative 25-35% Abu Dhabi 10-20% Office Residentia
Slide 14: Portfolio
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Slide 15: Footprint
Footprint www.enbdreit.com ENBD REIT Investor Presentation as at 31st March 2019 15
Slide 16: Portfolio overview and diversification
Portfolio overview and diversification By sector as % of portfolio Residential 18% Retail 6% Alternative 18% Education 5% Office 64% Student accommodation 7% ENBD REIT Investor Presentation as at 31st March 2019 www.enbdreit.com 16
Slide 17: Diversified tenant mix in the office segment
Diversified tenant mix in the office segment Logistics, 1% Retail-F&B, 4% Retail , 1% Sales , 5% Residential Media , 9% 20% ICT, 33% Alternative 16% Office portfolio: 64% of the overall holdings Healthcare , 19% Consultancy & Legal , 28% www.enbdreit.com ENBD REIT Investor Presentation as at 31st Ma
Slide 18: Portfolio overview
Portfolio overview Asset value as % of portfolio Gross Rental Income as % of portfolio South View School , 5% South View School , 5% Souq Extra, 6% Souq Extra, 6% Al Thuraya 1, Al Thuraya 1, 20% 22% Uninest, 7% Uninest, 7% Remraam, 4% Remraam, 5% Binghatti Binghatti Terraces, 7% Terraces, 6% The Edg
Slide 19: Portfolio characteristics
Portfolio characteristics Strong occupancy of 86% across the portfolio 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Al Thuraya 1 78% The Edge 100% Offices Target Burj Daman 74% 64% 50-60% DHCC49 88% DHCC25 83% Binghatti Terraces 73% Residential Target Arabian Oryx House 86% 18% 15-20% Remraam 88% Uni
Slide 20: ENBD REIT's Portfolio has remained strong
ENBD REIT’s Portfolio has remained strong Despite challenging market conditions Overall portfolio valuations 500 450 400 350 300 USD m 250 200 150 100 50 0 31/3/17 30/6/17 30/9/17 31/12/17 31/3/18 30/6/18 30/9/18 31/12/18 31/3/19 Office Residential Alternative Total www.enbdreit.com ENBD REIT Invest
Slide 21: ENBD REIT's Portfolio valuations
ENBD REIT’s Portfolio valuations Office valuations Residential valuations 100 +1% 45 80 Flat -15% -3% 35 USD m USD m 60 -23% 40 Flat 25 -29% 20 -4% 15 31/3/17 30/6/17 30/9/17 31/12/17 31/3/18 30/6/18 30/9/18 31/12/18 31/3/19 31/3/17 30/6/17 30/9/17 31/12/17 31/3/18 30/6/18 30/9/18 31/12/18 31/3/19 A
Slide 22: Asset snapshot: Office
Asset snapshot Office The Edge Al Thuraya 1 Burj Daman DHCC 49 DHCC 25 Dubai Internet Overall Media City DIFC Healthcare City Healthcare City Overall City Office Acquired: Nov Acquired: Jun Acquired: Apr Acquired: Jul Portfolio Acquired: Oct Portfolio 2006 2015 2007 2007 2017 Market value (USD) 90m
Slide 23: Asset snapshot: Residential
Asset snapshot Residential Binghatti Terraces Arabian Oryx House Remraam Overall Residential Silicon Oasis Barsha Heights Dubailand Overall Portfolio Portfolio Acquired: May 2016 Acquired: Oct 2014 Acquired: Sep 2015 Market value (USD) 31m 33m 17m 82m 450m % of portfolio value 7% 7% 4% 18% 100% Net
Slide 24: Asset snapshot: Alternative
Asset snapshot Alternative South View Uninest Souq Extra Retail School Overall Dubailand Centre Remraam Alternative Overall Portfolio Acquired: May Acquired: Dec Acquired: Aug Portfolio 2017 2017 2017 Market value (USD) 34m 25m~ 21m 81m 450m % of portfolio value 7% 6% 5% 18% 100% Net leasable area (
Slide 25: Financials
Financials
Slide 26: Financial highlights
Financial highlights As at 31st March 2019 • Net rental income / FFO flat on previous year • Gross income up 16% due to additional rental from acquisitions • Cash return on NAV stable, despite soft real estate market • Unrealised valuation losses negatively impacted net income www.enbdreit.com ENBD
Slide 27: Financial performance
Financial performance 12 months ending 31st March 2019 50,000,000 40,000,000 38,171,997 32,983,478 30,000,000 20,000,000 12,364,742 13,001,027 FY 2018- USD 12,441,780 2019 10,000,000 559,247 - FY 2017- 2018 (10,000,000) (9,349,128) (20,000,000) (20,541,698) (21,713,870) (30,000,000) (25,807,255) Gro
Slide 28: Breakdown of total expenses
Breakdown of total expenses as at 31st March 2019 USD USD FY 2019 FY 2018 Variance Gross income 38,171,997 32,983,478 5,188,519 Fund expenses, (6,199,297) Operating expenses, (8,240,625) Total expenses (25,807,255) (20,541,698) (5,265,557) FFO Net Rental Income 12,364,742 12,441,780 (77,038) (excl.
Slide 29: Appendix
Appendix
Slide 30: Statement of financial position (USD)
Statement of financial position (USD) Appendix 1 As at 31st Mar 2019 As at 31st Mar 2018 Investment properties 450,322,080 462,561,122 Cash and cash equivalent 15,754,585 18,693,403 Trade and other receivables 3,926,006 4,913,400 Total assets 470,002,671 486,167,925 Current liabilities Payable for i
Slide 31: Statement of comprehensive income (USD)
Statement of comprehensive income (USD) Appendix 2 FY 31st Mar 2019 FY 31st Mar 2018 Rental Income 38,040,334 32,434,112 Profit on Deposits 131,663 549,366 Total Income 38,171,997 32,983,478 Operating expenses (8,240,625) (7,483,319) Operating income 29,931,372 25,500,159 Other expenses (2,076,276)
Slide 32: Corporate structure
Corporate structure Appendix 3 Asset Management Board of Directors HR Fund Management Investor Relations Support Functions Emirates NBD Asset Management Emirates NBD Group Governance Oversight Committee Independent Finance Audit Investment Committee Operations Risk Shari’a Board Compliance www.enbdr
Slide 33: Third party support functions
Third party support functions Appendix 4 Administrator, custodian and Legal counsel company secretary K&L Gates Apex Fund Services Independent auditor Public relations KPMG Instinctif Partners Independent valuation Independent valuation CBRE Cavendish Maxwell www.enbdreit.com ENBD REIT Investor Pres
Slide 34: Management
Management Appendix 5 Anthony Taylor, Head of Real Estate Melanie Fernandes, Senior Portfolio Manager, Real Estate Anthony has over ten years’ experience within the institutional real estate market. He was Melanie has been Asset Manager since 2014. She focuses on real estate asset appointed Head of
Slide 35: Board of Directors
Board of Directors Appendix 6 Tariq Bin Hendi, Chairman Ali Rashid Humaid Al Mazroei, Director Tariq is currently an Executive Vice President and the Head of Ali is Group Director and CFO at Bahri & Mazroei Group, a diversified Products & Advisory at Emirates NBD Group, having previously investment
Slide 36: Investment Committee
Investment Committee Appendix 7 Khalid Al Fahim Khalid has over 15 years of professional experience in management and board advisory, and has been an active member of various organisations and industries in the UAE, including Al Fahim Group (UAE), where he has held offices from business development
Slide 37: Oversight Committee
Oversight Committee Appendix 8 Abdulla Mohammed Al Awar, CEO, Dubai Islamic Economic Development Centre Abdulla is CEO of the Dubai Islamic Economy Development Centre (DIEDC), with responsibility for delivering the ‘Dubai: Capital of Islamic Economy’ strategy. Prior to his role at DIEDC he was CEO o
Slide 38: Shari'a Supervisory Board
Shari’a Supervisory Board Appendix 9 Dr. Mohamed Ali Elgari, Chairman Dr. Mohamed Ali Elgari is a Professor of Islamic Economics and the former Director of the Centre for Research in Islamic Economics at King Abdul Aziz University in Saudi Arabia. He is a member on the editorial board of several aca
Slide 39: Acquisition process
Acquisition process End negotiations or End negotiations or renegotiate with the renegotiate with the seller and present once seller and present once again to the IC for again to the board for approval approval If not If not suitable suitable Present to Investment Identify asset Conduct initial due
Slide 40: Divestment process
Divestment process End negotiations or Prepare sale information Receive and negotiate renegotiate with the pack & circulate to offers from qualified purchaser and present identitfied qualified purchasers in the market once again to the IC for active agents approval If not If offer If not suitable su
Slide 41: The Fund Manager
The Fund Manager Appendix 10 Emirates NBD Asset Management is the award winning, wholly owned subsidiary of Emirates NBD Bank PJSC. The Company provides a full range of investment solutions, including in-house managed funds and tailor made discretionary solutions, offering exposure to the regional M
Slide 42: Contact us
Contact us General Enquiries ENBDREITIR@emiratesnbd.com +971 (0)4 509 3010 Investor Relations Julia Ward-Osseiran juliao@emiratesnbd.com +971 (0)4 509 3016 Company Secretary Jean Kenny Labutte jeank@apexfunddubai.ae +971 (0)4 428 9221 Tenants/Leasing Melanie Fernandes fernandesmm@EmiratesNBD.com +97
Slide 43: Disclaimer
Disclaimer The information, estimates and opinions (“Information”) expressed herein are made in good faith and are based on sources believed to be reliable, but no representation or warranty, express or implied, is made as to the accuracy, completeness or correctness of the Information. The Informat
Slide 44: Thank you
Thank you www.enbdreit.com
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