Cromwell Property Group · ASX:CMW
Cromwell Property — Merger or Acquisition (November 2011)
15 slides from Cromwell Property's merger presentation, Nov 11, 2011
Slide 1: Acquisition & Placement
For personal use only Acquisition & Placement 11 November 2011 CROMWELL PROPERTY GROUP (ASX:CMW) Not for distribution or release in the United States or to US persons or persons acting for the account or benefit of US persons
Slide 2: Important Information and Disclaimer
Important Information and Disclaimer For personal use only Disclaimer To the extent that general financial product advice in respect of the issue of Cromwell Not an offer This presentation and its appendices ("Presentation") is dated 11 November 2011 and has Diversified Property Trust units as a com
Slide 3: Section 1 Overview
For personal use only Section 1 Overview CROMWELL PROPERTY GROUP (ASX:CMW) 3
Slide 4: Transaction Overview
Transaction Overview For personal use only | Cromwell will acquire Ipswich City Heart Development, Ipswich, for $5m (on completion value of ~$93m1) (Acquisition) | Unlisted retail propertyy syndicate y proposed to be launched to raise $49m to fund the Ipswich asset ((Syndicate) y ) Acquisition | Cro
Slide 5: Section Acquisition
For personal use only Section 2 Acquisition CROMWELL PROPERTY GROUP (ASX:CMW) 5
Slide 6: Ipswich City Heart - Overview
Ipswich p Cityy Heart - Overview For personal use only | Ipswich City Heart, due to be completed in October 2013, is the first stage of the Ipswich City Heart Masterplan being developed by Leighton in partnership with the Ipswich City Council | The building will comprise 15,600 sqm of A-Grade office
Slide 7: Ipswich City Heart - Tenancy Details & Comparable Sales
Ipswich p Cityy Heart - Tenancyy Details & Comparable p Sales For personal use only | Asset underpinned by 15 year lease to Queensland State Government | Asset price is attractive relative to recent comparable sales Leasing Rates Office rental Actual Market rate1 Variance Rate / m2 (gross) $455 $455
Slide 8: Ipswich CBD Regeneration
Ipswich p CBD Regeneration g For personal use only | Ipswich is located approximately 38km west of Brisbane CBD | Leighton is undertaking a broad redevelopment of the Ipswich CBD in partnership with the Ipswich City Council | Backed by Queensland State Government plan to decentralise the Bi b Brisba
Slide 9: Syndication Strategy
Syndication y Strategy gy For personal use only | Cromwell intends to launch a new unlisted retail property syndicate in November 2011 to acquire Ipswich City Heart | Aims to raise $49m in equity q y - raise expected p to be completed p byy 30 June 2012 | Attractive offering given yield, rental grow
Slide 10: Riverpark Trust Case Study
Riverpark p Trust Case Studyy For personal use only | Strength of Cromwell’s retail syndication platform demonstrated through the success off Cromwell C ll Riverpark Ri k TTrustt raising i i 1 Æ $91m equity raising completed within 9 months Æ Over 2,000 investors Æ Similar “fund through” structure a
Slide 11: Impact of Acquisition & Placement Raising
For personal use only Section 3 Impact of Acquisition & Placement Raising CROMWELL PROPERTY GROUP (ASX:CMW) 11
Slide 12: Source & Application of Funds
Source & Application pp of Funds For personal use only | The Syndicate is to be funded using a combination of debt and equity | $28m institutional placement Æ Funds will initially be applied to pay transaction costs and provide short term funding to the Syndicate until all equity is raised Æ Combine
Slide 13: Transaction Impact - Earnings
Transaction Impact p - Earnings g For personal use only | Transaction is expected to be FY12 EPS and DPS neutral | FY12 EPS may improve slightly, depending on timing of Syndicate fee income | At the issue price of $0.68, the New Securities offer expected Æ 2.3% EPS yyield ppremium to ppeer ggroupp a
Slide 14: Transaction Impact - Gearing and Market Cap
Transaction Impact p – Gearingg and Market Capp For personal use only | 30 June 2011 pro forma gearing unchanged at 49% (on completion of Syndicate Æ Targeting gearing of 40% in the medium term | 30 June 2011 pro forma weighted average debt maturity stable at 2.9 years1 | Market capitalisation incre
Slide 15: For personal use only
For personal use only wellll versedd well timed well considered CROMWELL PROPERTY GROUP (ASX:CMW)
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