Mas P.l.c. · JSE:MSP
Mas P.l.c — MAS Real Estate — H1 2020 Earnings Presentation
42 slides from Mas P.l.c's earnings presentation, Dec 31, 2019
Slide 1: Results Presentation & Company Profile
Results Presentation & Company Profile as at 31 December 2019
Slide 2: Table of Contents
TABLE OF CONTENTS 3 RESULTS SUMMARY (Jul — Dec 19) 4 EARNINGS (Jul — Dec 19) 5 NET ASSET VALUE (Dec 19) 6 EARNINGS (Jul — Dec 19 vs. Jan— Jul 19) 7 NET ASSET VALUE (Dec 19 vs. Jun 19) 8 CEE PASSING NET RENTAL INCOME & FAIR VALUE MOVEMENTS (Jul — Dec 19) 9 CEE DEVELOPMENT PROPERTY MOVEMENTS (Jul — De
Slide 3: Results Summary Jul — Dec 19
RESULTS SUMMARY Jul — Dec 19 HIGHLIGHTS FINANCIAL RESULTS 4.24 124 euro cents euro cents Acquisition of the 20% minority Adjusted distributable earnings/share Tangible net asset value/share interest in the IJV Appointment of new management CEE OPERATIONAL RESULTS +8.2% +2.1% Absorption of Prim
Slide 4: Earnings Jul — Dec 19
EARNINGS Jul — Dec 19 Proportionate accounts Adjustments Adjusted proportionate accounts Six months ended 31 Dec 2019 Six months ended 31 Dec 2019 Six months ended 31 Dec 2019 Total CEE DJV WE Co Total CEE DJV WE Co Total CEE DJV WE Co EARNINGS 52,567 35,491 14,007 8,672 (5,603) (6,025) 4,155 3,178
Slide 5: Net Asset Value Dec 19
NET ASSET VALUE Dec 19 Proportionate accounts Adjustments Adjusted proportionate accounts 31 Dec 2019 31 Dec 2019 31 Dec 2019 Total CEE DJV WE Co Total CEE DJV WE Co Total CEE DJV WE Co NET ASSET VALUE 906,328 344,309 171,275 298,051 92,693 (31,518) 397 4,158 (36,073) – 874,810 344,706 175,433 261,9
Slide 6: Earnings Jul — Dec 19 vs. Jan — Jul 19
EARNINGS Jul — Dec 19 vs. Jan — Jul 19 Adjusted proportionate accounts Adjusted proportionate accounts Δ Six months ended 31 Dec 2019 Six months ended 30 Jun 2019 Total CEE DJV WE Co Total CEE DJV WE Co Total CEE DJV WE Co EARNINGS 46,542 39,646 17,185 (27,401) 17,112 47,381 25,110 9,560 4,772 7,939
Slide 7: Net Asset Value Dec 19 vs. Jun 19
NET ASSET VALUE Dec 19 vs. Jun 19 Adjusted proportionate accounts Adjusted proportionate accounts Δ 31 Dec 2019 30 Jun 2019 Total CEE DJV WE Co Total CEE DJV WE Co Total CEE DJV WE Co NET ASSET VALUE 874,810 344,706 175,433 261,978 92,693 847,420 272,490 123,781 291,094 160,055 27,390 72,216 51,652
Slide 8: CEE Passing Net Rental Income & Fair Value Movements
CEE PASSING NET RENTAL INCOME & FAIR VALUE MOVEMENTS Jul — Dec 19 Developments and acquisitions completed during the period Zalau Value 20% DN1 Value IJV Centre Centre Jul 19 Nov 19 Dec 19 CEE Passing Net Rental Income movements Passing NRI at 30 Jun 19 €28.2m Passing NRI – LFL portfolio €0.6m Passi
Slide 9: CEE Development Property Movements Jul — Dec 19
CEE DEVELOPMENT PROPERTY MOVEMENTS Jul — Dec 19 Development pipeline at 30 Jun 19 €414.5m Zalau Value Centre – completion €8.1m DN1 Value Centre – completion €13.8m Barlad Value Centre – addition €7.7m Income property – extensions €6.6m Developments – extensions €16.4m Development pipeline at 31 Dec
Slide 10: CEE Debt Capacity & Repayment Profile
CEE DEBT CAPACITY & REPAYMENT PROFILE Dec 19 Debt capacity minimum (40% LTV; 7xNRI) €206.3m Headroom (debt capacity — drawn facilities) €64.1m Undrawn secured facilities €63.0m Debt 31 Dec 19 €142.2m 2020 repayment €7.5m 2021 €7.5m 2022 €49.0m 2023 €5.7m 2024 €29.4m 2025 €3.5m 2026 €3.6m 2027 €3.7m
Slide 11: Company Profile
COMPANY PROFILE REDEPLOYMENT STRATEGY 1,600 WE income property 1,400 REIT portfolio Internally managed property investor and operator Other assets focused on retail properties in CEE 1,200 DJV preference shares CEE development property Capital currently invested in WE will be redeployed directly int
Slide 12: Earnings Jun 18 — Dec 19
EARNINGS Jun 18 — Dec 19 Adjusted proportionate accounts Adjusted proportionate accounts Adjusted proportionate accounts 2018 2019 Six months ended 31 Dec 2019 Total CEE DJV WE Co Total CEE DJV WE Co Total CEE DJV WE Co EARNINGS 22,136 14,454 13,111 7,309 (12,739) 63,120 40,326 23,057 26,784 (27,047
Slide 13: Net Asset Value Jun 18 — Dec 19
NET ASSET VALUE Jun 18 — Dec 19 Adjusted proportionate accounts Adjusted proportionate accounts Adjusted proportionate accounts 31 Dec 2018 30 Jun 2019 31 Dec 2019 Total CEE DJV WE Co Total CEE DJV WE Co Total CEE DJV WE Co NET ASSET VALUE 835,648 99,756 130,276 284,001 321,612 847,420 272,490 123,7
Slide 14: Income Property Schedule Dec 19
INCOME PROPERTY SCHEDULE Dec 19 Destination Asset MAS' share Location Type Acq/Dev Stake Acquired GLA GLA Occup. NRI BV Cost NRI BV Cost NRI/BV NRI/Cost % year m2 m2 % €m €m €m €m €m €m % % INCOME PROPERTY 607,614 96.3% 69.5 1,132.5 997.5 64.0 1,059.8 946.1 6.3% 7.2% CEE – income property 460,357 31
Slide 15: Development Property Schedule Dec 19
DEVELOPMENT PROPERTY SCHEDULE Dec 19 Destination Asset MAS' share Location Type Status Stake Compl. GLA GLA/GSA ERV Units Spent Budget ERV Spent Budget Margin ERV/Budget % year m2 m2 €m # €m €m €m €m €m % % DEVELOPMENT PROPERTY 639,037 56.9 3,711 93.8 887.1 27.5 37.8 423.3 27.5% 8.6% Developments –
Slide 16: Portfolio Overview
PORTFOLIO OVERVIEW 3 4 Edinburgh Office Isle of Man Office United Kingdom 1 35 London Office Poland Germany Poland Office Frankfurt Office 1 Switzerland 14 15 Romania Bucharest Office 2 1 Sofia Office Bulgaria Income generating properties Developments, extensions and land bank 16
Slide 17: Income Property: Militari Shopping
INCOME PROPERTY 54,047m² Located in Militari district, a densely populated and expanding MILITARI SHOPPING GLA residential area of Bucharest. The centre has excellent visibility and €8.2m frontage on the main western entrance road in the city (linking NRI directly into E81/A1 highway). The tenant mi
Slide 18: Income Property: Galleria Burgas
INCOME PROPERTY ATHLET CI IC NE M AC ITY GALLERIA BURGAS OLA PI ZZ PL IO AY GR CI EL OU A ND M STO C RA DO NA GE LD S IN CA BM IN OR N CA AG ST NT E TO S O RAT ATU I SCA NDA L COFAN PO STORNCEP INT EX TR E T AV AG FA N PA PEP A NC PO TR E IZ E IN IA T CO LL EC T IV E O BA G TR IU M PH M ER CA R I WO
Slide 19: Income Property: Nova Park
INCOME PROPERTY SM YK DIV ERS NOVA PARK E C O C C O D RIL LO RE O PO UN Y RT G ER S FRE COT TR AD E E M O D E TOYTOP FA OR AL BO O IW BR M BO 5. S F 10 Q YK Y .1 5 A PIN O RUCH FASHSPORT KAND ION BY ULSK KU OH I POLSCHN 4F LA LA KA IA ECH NE BL DO SH HO W YO U W A E T DO RK O G ACA PU NO BE NN M GA
Slide 20: Income Property: Atrium Mall
NRI GLA 100% 96.7% €58m €4.6m 28,384m² OCCUPANCY BOOK VALUE OWNED BY MAS INCOME PROPERTY ATRIUM MALL walking distance from the city center. It industrial center and transportation hub. city, either by car, or by public transport. is easily accessible from any corner of the The shopping center is loc
Slide 21: Income Property: Kaufland Centres
INCOME PROPERTY KAUFLAND CENTRES × 175 owned out of 500 VARIOUS BRANDS ANIMAX SPORTISIMO 27,838m² This portfolio includes seven convenience NORIEL GLA centres with a high density of national €3.0m and international anchors, including Jysk, NRI Pepco and Deichmann. They are easily €39.5m accessible b
Slide 22: Income Property: Baia Mare Value Centre
INCOME PROPERTY BAIA MARE VALUE CENTRE DABO BUY DONER HOUDIN SPORTISIMO HOPPA SMYK MISCHIATI AVANGARD ROBEST JACK ROZA GAMES ORO CHRISTIAN TOUR RUSTIKA COMPAS COVER SHOP TOTAL WASH SAVOY CETINA JUNGLA COPIILOR ANIMAX SILCA NORIEL 21,328m² Baia Mare Value Centre has good accessibility, CADOR GLA × 95
Slide 23: Income Property: Roman Value Centre
INCOME PROPERTY ROMAN VALUE CENTRE CU SOS PIZZA 21 DABO PALLINA COCO DONER GELATERIA RINOO LET’S PLAY SPARTAN SILCA CONIAVO TELECOM EXCHANGE AVANGARD BUJITERIA BONITO LE PREMIER ROYAL BUNATATI DE CASA ROBEST BRENDA NORIEL BOUTIQUE JUNGLE EXPRESS KIDDY KRISTALL CREDIT OPTIC THE ESENTE SI AROME BRIDGE
Slide 24: Income Property: Galleria Stara Zagora
INCOME PROPERTY T IC ATHLE CHARM LETIC ATH FITNESS URANT RESTA MA GALLERIA STARA ZAGORA KIDS LAY CINE CITY ANDO FERNMEXICAN SUGARLAND P A INEM YOUGHURT YOZZY ART BING CLIMCENTER 5D C É CAF MI’S ZA R CAT BMS ONE TAN A&PIZ PIZZIO MR.D SPAR PLESK RA SUB GUE I VO XIM NOR TELE A1 ILY S ESS ND GRAPTICS N
Slide 25: Income Property: DN1 Value Centre
INCOME PROPERTY DN1 VALUE CENTRE HOMELUX ASKONA CANDY STORE ANIMAX DIVERTA ABBRACCIO KONTAKT EXPRESS COVER PRESTIGE BIJOUSIM LELAS MOBIUP BIJUTERII JUNGLA ASIGURARI PERFUMES HANDMADE COPIILOR SHOP ALINA POLI PLANTE VESELE COVER SHOP TOTAL WASH BOUTIQUE 17 CAROL TRIUMPH OPTIC MUMUSO CADOR SILCA GREIG
Slide 26: Income Property: Zalau Value Centre
INCOME PROPERTY ZALAU VALUE CENTRE SPARTAN GAMES JACK MESOPOTAMIA SMITH SMITH & BUY HOUDIN SILCA KRYSTA NOBILACASA JUICE BAR NORIEL BULEVARD DIGI POSETTE CURATATORIE COVER SHOP ARMAN SPORT LOC DE JOACA MAXXIMUS YUHUU KIDS BOUTIQUE 17 CONTAKT RADA PERFUMES CADOR ANIMAX BELLA 19,338m² Zalau Value Cent
Slide 27: Development Property: Dambovita Mall
DEVELOPMENT PROPERTY Under construction DAMBOVITA MALL C IN EM A EL AN EC C TR HO O R N IC S FA C SH HO AN IO R N FA C SH HO AN IO R FA C 32,900m² N Positioned in a densely populated residential SH HO AN IO R N GLA area, within 2 km from Targoviste city centre €4.6m and near the city’s train station
Slide 28: Development Property: Mall Moldova Extension
DEVELOPMENT PROPERTY Under construction MALL MOLDOVA EXTENSION A EM CIN F IT N E S S 0 15 3, × 58,900m² The planned extension of Mall Moldova is N GLA H N IO R N IO R H N A SH O FA SH O C O C destined to create a super-regional mall to R N I FA NCH A SH O FA A H N C O H N €9.7m N IO R R serve the ea
Slide 29: Development Property: Sepsi Value Centre
DEVELOPMENT PROPERTY Under construction SEPSI VALUE CENTRE ELECTRONICS FASHION FASHION FASHION FASHION FASHION FASHION FASHION SPECIALIST × 720 17,000m² Sfantu Gheorghe, with a population of GLA approximately 54,000 is the capital of Covasna €2.1m county. The project is located in a densely FASHION
Slide 30: Development Property: Barlad Value Centre
DEVELOPMENT PROPERTY Under permitting BARLAD VALUE CENTRE FASHION FASHION HYPERMARKET FURNITURE SPECIALIST FASHION FASHION 17,700m² Barlad is a municipality in the Vaslui county FASHION GLA with a population of approximately 70,000. €2.0m The project is located in the south part ERV of the city with
Slide 31: Development Property: Arges Mall
DEVELOPMENT PROPERTY Under permitting ARGES MALL CIN EM A FIT NE SS ×2 ,00 FA C FA C SH HO A N IO R SH HO 0 A N N IO R 56,100m² Positioned centrally in a dense residential area, F N AN ASH CH ION OR F GLA AN ASH CH ION next to the main train station, the city’s main OR FA C SH HO A N IO R FA C N SH
Slide 32: Development Property: Marmura Residence
DEVELOPMENT PROPERTY Under construction MARMURA RESIDENCE 36,147m² GSA 465 UNITS €43.1m BUDGET 40% OWNED BY MAS Marmura Residence offers, apart from high quality urban apartments, several unique extra-features such as: an urban park on its footsteps linking it to the greater neighbourhood, a selecti
Slide 33: Development Property: Avalon Estate
DEVELOPMENT PROPERTY Under permitting AVALON ESTATE 90,237m² GSA 746 UNITS €101.0m BUDGET 40% OWNED BY MAS Avalon Estate is a unique gated community concept, located between Pipera and Aviatiei neighbourhoods, in the northern part of Bucharest. The project is being developed on an 8.1 ha land plot w
Slide 34: Development Property: Silk District
DEVELOPMENT PROPERTY Under permitting SILK DISTRICT Residential Office & Hotel 135,208m² 97,600m² GSA GLA 2,500 €145.7m UNITS BUDGET €112.3m 40% BUDGET OWNED BY MAS 40% OWNED BY MAS A large mixed-use and urban renewal development, the project combines several functions to increase efficiency of infr
Slide 35: Board of Directors
BOARD OF DIRECTORS Martin Slabbert, CEO BCom, LLB (cum laude), MCom (cum laude), Dip FMI, CF (England and Wales) Martin has 24 years of real estate, turn-around and finance industry experience, of which 15 years in CEE. He co-founded Prime Kapital in 2015. Prior to establishing Prime Kapital, he was
Slide 36: Board of Directors
BOARD OF DIRECTORS Werner Alberts, Independent Non-Executive Interim Chairman BCom Hons (Acc), CA (SA), ACA (ICAEW) Werner was appointed as interim chairman of MAS’s Board of Directors in November 2019. He is currently the COO of Capital International Group Limited. Werner is a qualified chartered a
Slide 37: Board of Directors
BOARD OF DIRECTORS Malcolm Levy, Non-Executive Director MCom, MBA (Oxon), CA (SA), CFA Malcolm served as MAS' CFO for over 9 years following the group’s inception, which he co-founded. He transitioned to a non-executive director role in June 2019. Prior to joining MAS, he was an equities fund manage
Slide 38: Development Joint-Venture Structure
DEVELOPMENT JOINT-VENTURE STRUCTURE 40% Ordinary Shares 60% Ordinary Shares €20m €30m MAS invested equity, provides preference share capital, and provides asset and property DJV Prime Kapital invested equity, contributed its secured development pipeline at cost, takes responsability for sourcing fur
Slide 39: Top 10 Shareholders Dec 19
TOP 10 SHAREHOLDERS Dec 19 Shares % Attacq Ltd 146,818,251 20.73 Prime Kapital Holdings Ltd and associates 69,679,584 9.84 Argosy Capital Ltd 54,540,478 7.70 Government Employees Pension Fund 53,086,441 7.49 Investec 30,426,817 4.30 Sanlam 25,539,646 3.61 Momentum Metropolitan Holdings 22,565,554 3.
Slide 40: Glossary
GLOSSARY Proportionate accounts Segment results include items directly attributable to a segment as well as those that can be allocated on a reasonable basis. reportable segments CEE direct portfolio (CEE, IJV) Income properties located in CEE fully owned and managed by the Group. Until 27 November
Slide 41: Glossary
GLOSSARY Acq/Dev, A/D Acquired / Developed INT Interest expense BREEAM Excellent Independent third-party certification of the assessment on the Investment property Income property, Development property and Land bank. sustainability of individual buildings, communities and infrastructure projects. It
Slide 42: MAS Real Estate Inc.
MAS REAL ESTATE INC.