Dexus · ASX:DXS

Dexus — DEXUS Property Group — Investor Presentation (December 2008)

26 slides from Dexus's investor presentation, Dec 3, 2008

  1. Slide 1: ASX announcement: proposed equity raising

    DEXUS Funds Management Limited 3 December 2008 ABN 24 060 920 783 AFSL: 238163 Level 9, 343 George Street Sydney NSW 2000 PO Box R1822 Royal Exchange NSW 1225 The Manager Australian Stock Exchange Limited Telephone 02 9017 1100 20 Bridge Street Direct 03 8611 2930 Sydney NSW 2000 Facsimile 03 8611 2

  2. Slide 2: Important Information

    Page 2 Important Information This announcement and attachment does not constitute an offer for subscription, invitation, recommendation or sale with respect to the purchase or sale of any securities in any jurisdiction. This announcement does not constitute an offer to sell, or a solicitation of an

  3. Slide 3: DEXUS Property Group Institutional placement

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS DEXUS Property Group Institutional placement 3 December 2008 391.7m securities at $0.73 to $0.84 raising $286m - $329m DEXUS Funds Management Limited ABN 24 060 920 783 Australian Financial Services Licence Number 238163

  4. Slide 4: Important information

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS Important information ƒ This presentation is issued by DEXUS Funds Management Limited (DXFM) in its capacity as responsible entity of DEXUS Property Group (ASX:DXS). It is not an offer of securities for subscription or sale and

  5. Slide 5: Contents

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS Contents ƒ Executive summary ƒ Capital raising ƒ Debt refinancing / Additional headroom ƒ DEXUS at a glance ƒ Summary ƒ Additional information 3

  6. Slide 6: Executive summary

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS Executive summary

  7. Slide 7: Executive summary

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS Executive summary1 ƒ DEXUS is committed to a prudent, pro-active approach to maintaining its sound financial position – Debt facilities recently secured to refinance all maturities to February 20102 – Additional debt facility of

  8. Slide 8: Executive summary cont.

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS Executive summary cont. ƒ Pro forma gearing of 34% post the institutional placement – Significant headroom within 55% gearing covenant1 – No market capitalisation covenant – No off balance sheet debt – BBB+ / Stable S&P credit r

  9. Slide 9: Capital raising

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS Capital raising

  10. Slide 10: Capital raising

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS Capital raising ƒ Institutional placement to raise approximately $286m - $329m and a Security Purchase Plan ƒ Institutional placement – Is proposed to be conducted today – 391.7m securities1 – Bookbuild price range $0.73 – $0.84

  11. Slide 11: Valuation metrics

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS Valuation metrics ƒ At $0.73 per new security Earnings yield1,2 Discount to: 16 % 14 .8 % 12 .9 % 11.7 % − Last price of 13.1% 10 .8 % 10 .2 % 7 .8 % − 1 month VWAP of ($0.84) of 13.2% 8% 5 .9 % − 3 month VWAP of ($1.13) of 35.6

  12. Slide 12: Positions DEXUS for the future

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS Positions DEXUS for the future ƒ One of the largest, highest quality diversified property groups in Australia ƒ Strong balance sheet – Reduces pro forma gearing1 from 37% to 34% – All maturities until February 2010 fully funded

  13. Slide 13: Indicative placement timetable

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS Indicative placement timetable Activity Timing Institutional bookbuild opens 10.00am Wednesday 3 December 2008 Institutional bookbuild closes 2.30pm Wednesday 3 December 2008 Settlement of placement securities Tuesday 9 December

  14. Slide 14: Debt refinancing / Additional headroom

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS Debt refinancing / Additional headroom

  15. Slide 15: Refinancing CY09 expiries

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS Refinancing CY09 expiries ƒ DEXUS maintains strong relationships with its lenders Debt maturity profile1 ƒ Refinanced $500m CMBS due April 2009 1,600 Post capital raising 1,410 – $250m announced in August 2008 1,400 ƒ Debt durat

  16. Slide 16: DEXUS at a glance

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS DEXUS at a glance

  17. Slide 17: DEXUS at a glance

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS DEXUS at a glance ƒ One of the largest owner, manager and developers of high quality property in Australia and selected international markets ƒ 96%1 of operating earnings derived from net property income ƒ Properties continuing

  18. Slide 18: Office portfolio highlights – Australia and New Zealand

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS Office portfolio highlights – Australia and New Zealand ƒ High quality, strategically located office portfolio – 95%1 premium or A grade assets – 71%1 located in Sydney market, of which 85%1 in Sydney CBD – 18,000 sqm of leases2

  19. Slide 19: Australian industrial portfolio

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS Australian industrial portfolio ƒ Strategically located and diversified portfolio of quality industrial properties with high exposure to the key Sydney and Melbourne markets1 − Over 66,700 sqm of leases negotiated in Q1 FY09 rep

  20. Slide 20: International industrial portfolio

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS International industrial portfolio North America1 ƒ Assets strategically located in key sub-markets ƒ Occupancy 92% ƒ Tenant retention 74% as at 30 June 2008 Geographical allocation by market2 ƒ Weighted average lease expiry 4.1

  21. Slide 21: Committed developments and acquisitions

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS Committed developments and acquisitions 1 Bligh Street, 123 Albert Street, 60 Miller Street, Whirlpool Sydney1 Brisbane Sydney ƒ Premium grade 28 level, ƒ Premium grade 24 level, ƒ Redevelopment A grade office ƒ Whirlpool indust

  22. Slide 22: Third party funds management business – stable and significant

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS Third party funds management business – stable and significant ƒ One of the largest third party platforms in Australia ƒ In FY08, third party funds increased by 39% to $6.4bn1 ƒ DEXUS has no equity interest or contingent exposur

  23. Slide 23: Summary

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS Summary

  24. Slide 24: DEXUS is well positioned for the future

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS DEXUS is well positioned for the future ƒ Clear vision and strategy ƒ High quality portfolio ƒ Stable and sustainable property earnings ƒ Quality developments adding value ƒ Strong balance sheet with low gearing ƒ Experienced ma

  25. Slide 25: Additional information

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS Additional information

  26. Slide 26: Gearing post capital raising

    NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES OR TO U.S. PERSONS Gearing post capital raising1 Pro Forma Pro Forma Actual Incl FX + MTM adj Post Capital Raising Consolidated, $ million Jun-08 Jun-08 Jun-08 Total Assets2 9,349 10,150 10,150 Payables, Provisions and Other3 507 810 803 Interest

DEXUS Property Group — Investor Presentation (December 2008) on 6ix