CapitaLand Integrated Commercial Trust · SGX:C38U
CapitaLand Integrated Commercial Trust — Merger or Acquisition (March 2022)
25 slides from CapitaLand Integrated Commercial Trust's merger presentation, Mar 25, 2022
Slide 1: Proposed acquisition of 70.0% interest in 79 Robinson Road
CapitaLand Integrated Commercial Trust Proposed acquisition of 70.0% interest in 79 Robinson Road 25 March 2022
Slide 2: Disclaimer
Disclaimer This presentation may contain forward-looking statements. Actual future performance, outcomes and results may differ materially from those expressed in forward-looking statements as a result of a number of risks, uncertainties and assumptions. Representative examples of these factors incl
Slide 3: Contents
Contents 04 Overview 11 Investment Merits 79 Robinson Road, Singapore Note: (1) Any discrepancies in the tables and charts between the listed figures and totals thereof are due to rounding.
Slide 4: Overview
Overview 79 Robinson Road, Singapore
Slide 5: Proposed acquisition of 70.0% interest in 79 Robinson Road
Proposed acquisition of 70.0% interest in 79 Robinson Road ✓ Acquiring 70.0% interest in Southernwood Property Pte Ltd (SWP), which holds 79 Robinson Road, from wholly owned subsidiaries of Mitsui & Tokyo Tatemono JV and CapitaLand Investment (CLI) ✓ Acquiring a new and good quality Grade A office b
Slide 6: 79 Robinson Road, a well-located office tower in CBD
79 Robinson Road, a well-located office tower in CBD Spectacular coastal views Gateway into CBD • Easy access to a well-connected transport network including MRT, buses, major expressways • Future underground access to Tanjong Pagar MRT station • Proximity to future Prince Edward MRT station and She
Slide 7: Property Details
Property Details BCA Address 79 Robinson Road, Singapore 068897 Green Mark Description A 29-storey Grade A office tower with ancillary retail; Future underground pedestrian Platinum network will provide access to Tanjong Pagar MRT Station All information as at 31 December 2021 on 100% basis unless o
Slide 8: Total Acquisition Outlay of S$869.2 million
Total Acquisition Outlay of S$869.2 million Completion of acquisition expected in 2Q 2022 • Total Acquisition Outlay to be funded by a combination of debt and net divestment proceeds from JCube • Pro forma aggregate leverage expected to be around 41% post acquisition 79 Robinson Road (70.0% interest
Slide 9: Financial Effects of Acquisition
Financial Effects of Acquisition DPU accretion expected to improve with enhanced property yield driven by higher committed occupancy rate Expected enhanced property yield with higher DPU accretion based on the proposed funding method(1) committed occupancy rate Pro forma DPU (S cents) 10.56 (2) 2022
Slide 10: Proposed Investment Structure
Proposed Investment Structure CICT to hold property via a sub-trust and LLP structure for tax transparency Existing Ownership Structure Proposed New Ownership Structure Wholly owned COREF(1) and CLI Singapore subsidiaries of Mitsui CICT related entities Pte. Ltd. & Co Ltd & Tokyo Tatemono Co Ltd 100
Slide 11: Investment Merits
Investment Merits 79 Robinson Road, Singapore
Slide 12: Investment Merits
Investment Merits 1. Delivering on CICT’s value creation strategy through portfolio reconstitution 2. Augmenting CICT’s office portfolio in Singapore 3. Quality asset that enhances resilience of portfolio 4. Transaction is DPU accretive to Unitholders Capi t aLand I nt egr at ed Com m er c i al Tr u
Slide 13: Delivering on CICT's Value Creation Strategy Through Portfolio Reconstitution
1 Delivering on CICT’s Value Creation Strategy Through Portfolio Reconstitution Disciplined execution of ongoing portfolio reconstitution journey with capital recycling into higher yielding or growth assets JCube exit yield: <4% One George Street exit yield: 3.17% Australia Portfolio combined implie
Slide 14: Delivering on CICT's Value Creation Strategy Through Portfolio Reconstitution
1 Delivering on CICT’s Value Creation Strategy Through Portfolio Reconstitution In line with CICT’s strategy to be predominantly Singapore focused and strengthening core in Singapore CBD Portfolio Details by Geography and Asset Class after Acquisition of 79 Robinson Road Portfolio property value by
Slide 15: Augmenting CICT's Office Portfolio in Singapore
2 Augmenting CICT’s Office Portfolio in Singapore Anchoring CICT’s position to ride the transformation of Singapore CBD and rejuvenation of Tanjong Pagar • Tanjong Pagar has seen completion of three large Grade A developments (79 Robinson Road, Guoco Tower and Frasers Tower) in recent years and furt
Slide 16: Augmenting CICT's Office Portfolio in Singapore
2 Augmenting CICT’s Office Portfolio in Singapore Limited gross new supply in Tanjong Pagar area Singapore Private Office Space (Central Area)(2) – Net Demand & Supply Singapore Office Market Supply 2.5 Forecast average annual • Limited new supply in Core CBD from 2022 to 2024; 2.2 gross new supply
Slide 17: Augmenting CICT's Office Portfolio in Singapore
2 Augmenting CICT’s Office Portfolio in Singapore Limited office stock and steady demand to support rent growth Singapore Grade A monthly gross rent (S$ psf) Singapore Office Market Rents • Rents expected to recover from 2022 onwards on the 18.80 20 back of economic recovery and high vaccination rat
Slide 18: Quality Asset that Enhances Resilience of Portfolio
3 Quality Asset that Enhances Resilience of Portfolio A workplace optimised for scale and versatility ✓ Hospitality-inspired lobby provides welcoming entrance Green Ratings & Features ✓ BCA Green Mark Platinum ✓ Extensive greenery with sky terrace and roof garden ✓ Efficient chilled water plant Qual
Slide 19: Quality Asset that Enhances Resilience of Portfolio
3 Quality Asset that Enhances Resilience of Portfolio Future-ready property with Grade A amenities and technology provisions Amenities ✓ Equipped with smart technologies such as facial recognition, automatic sliding doors and sensors on amenities ✓ End-of-trip facilities comprising showers, lockers
Slide 20: Quality Asset that Enhances Resilience of Portfolio
3 Quality Asset that Enhances Resilience of Portfolio Robust tenancy profile with long WALE and diverse tenant mix Lease Expiry Profile Tenant Mix(1) Services Government IT, Media and 1% 5% Weighted Average Lease to Expiry(1) = 5.8 years Telecommunications 4% Other Office Real Estate and Trades Prop
Slide 21: Quality Asset that Enhances Resilience of Portfolio
3 Quality Asset that Enhances Resilience of Portfolio Acquisition of 79 Robinson Road expected to increase portfolio WALE to 3.3 years from 3.2 years(1) Portfolio Lease Expiry Profile Post Acquisition 16.7% 14.3% 13.2% 11.6% 8.5% 9.3% 2.5% 0.1% 6.0% 4.8% 3.9% 4.4% 3.8% 2.6% 9.2% 9.1% 0.2% 0.5% 1.0%
Slide 22: Transaction is DPU accretive to Unitholders
4 Transaction is DPU accretive to Unitholders DPU accretion of 2.9% based on funding by net sales proceeds from JCube and debt(1) DPU accretion for the proposed acquisition of 79 Robinson Road Pro forma DPU (S cents) 10.56 (2) 10.26 Pro forma FY 2021 DPU Pro forma FY 2021 DPU + (adjusted for One Geo
Slide 23: CICT's Portfolio Post Acquisition
CICT’s Portfolio Post Acquisition 26 S$24.2B 11.9M sq ft 93.1% 3.3 years properties Portfolio property value(1) Total NLA(2) Portfolio Occupancy Portfolio WALE FRANKFURT, GERMANY OFFICE • Gallileo (94.9% interest) • Main Airport Center (94.9% interest) SYDNEY, AUSTRALIA SINGAPORE OFFICE RETAIL INTEG
Slide 24: Key Portfolio Statistics
Key Portfolio Statistics Post completion acquisition of Post completion of As at 101-103 Miller Street & acquisition of 24 March 2022(1) Greenwood Plaza 79 Robinson Road 24 25 26 No of Properties Net Lettable Area(1) 10.9 11.4 11.9 (million sq ft) Portfolio Property Value(3) 22.9 23.3 24.2(4) (S$ mi
Slide 25: Thank You!
Thank You! For enquiries, please contact: Ms Ho Mei Peng, Head, Investor Relations Direct: (65) 6713 3668 | Email: ho.meipeng@capitaland.com CapitaLand Integrated Commercial Trust Management Limited (http://www.cict.com.sg) 168 Robinson Road, #25-00 Capital Tower, Singapore 068912 Tel: (65) 6713 288
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