Ctp N.v. · EURONEXT:CTPNV
Ctp — Debt Investor Presentation (April 2021)
48 slides from Ctp's debt investor presentation, Apr 29, 2021
Slide 1: Update on CTP
Update on CTP 29 April 2021 CTP - A Top 5 Vertically Integrated European Logistics Property Platform Parkmakers CTPark Prague East Czech Republic 1
Slide 2: Today's Presenters
Today’s Presenters Richard Wilkinson Jan-Evert Post Deputy CEO & Group CFO Head of Funding & Investor Relations ➜ Richard is responsible for the financing of the entire group portfolio in CEE ➜ Jan Evert’s role is to manage relationships with the banking sector and provide complete financing of all
Slide 3: Credit Update – Major Achievements Since Inaugural Bond in September 2020
Credit Update – Major Achievements Since 1 Inaugural Bond in September 2020 PRESENTED BY Richard Wilkinson, Group CFO Jan-Evert Post, Head of Funding & Investor Relations 3
Slide 4: CTP – A European Logistics Major
Credit Update – Major Achievements Since Inaugural Bond in September 2020 Key Investment Highlights CTP – A European Logistics Major Mission: Build, Own, Operate High Quality and Most Sustainable Network of Business Parks in Europe • Largest logistics property company in Euro Zone by market cap (€5.
Slide 5: Key Achievements Since Inaugural Bond Issuance
Credit Update – Major Achievements Since Inaugural Bond in September 2020 Key Investment Highlights Key Achievements Since Inaugural Bond Issuance Clear Progression on Strategic Objectives: Unsecured Funding Structure, Deleveraging, Corporate Governance, Strong FY2020 Performance, New Geographies, a
Slide 6: Funding Structure Steadily on Course to Largely Unsecured
Credit Update – Major Achievements Since Inaugural Bond in September 2020 Key Investment Highlights 1 Funding Structure Steadily on Course to Largely Unsecured €1.55 Bn of Bonds Issued Over the Past 6 Months with Bonds Performing Well Since Issuance • Moved unsecured funding to CTP N.V. HoldCo – Lim
Slide 7: Growth in Unencumbered Asset Pool
Credit Update – Major Achievements Since Inaugural Bond in September 2020 Key Investment Highlights 2 Growth in Unencumbered Asset Pool €2.5 Bn of Unencumbered Assets PF for Feb ’21 Bond Issue, Driving 160% Coverage Ratio Liability Structure % of Total Key Developments: 31% • Growth in unencumbered
Slide 8: Successful IPO on Euronext Amsterdam on 25 March 2021
Credit Update – Major Achievements Since Inaugural Bond in September 2020 Key Investment Highlights 3 Successful IPO on Euronext Amsterdam on 25 March 2021 Deleveraging to 36% LTV Completed; Proven Access to Equity in Size and at Very Attractive Terms IPO Key Highlights Deleveraging Impact • First E
Slide 9: Further Strengthening of Corporate Governance
Credit Update – Major Achievements Since Inaugural Bond in September 2020 Key Investment Highlights 4 Further Strengthening of Corporate Governance Qualified Board of Directors Covering All Key Competencies of CTP’s Business With 4 Non-Executive Directors Executive Non-executive Nationality 17% 33%
Slide 10: FY 2020 Results Confirming Strength of CTP Business Model
Credit Update – Major Achievements Since Inaugural Bond in September 2020 Key Investment Highlights 5 FY 2020 Results Confirming Strength of CTP Business Model Operational and Financial Performance New Space Delivered Occupancy Rate & WAULT(1)(2) Rent Collection Leasing Activity(3) K sqm % % K sqm 5
Slide 11: Diversifying Geographic Exposure by Selectively Entering into New Markets
Credit Update – Major Achievements Since Inaugural Bond in September 2020 Key Investment Highlights 6 Diversifying Geographic Exposure by Selectively Entering into New Markets Recently Announced Expansion Geographies in Line with CTP’s Aim to Increase Geographical Diversification Through Largely Pre
Slide 12: Proven Financial Policy Framework Confirmed
Credit Update – Major Achievements Since Inaugural Bond in September 2020 Key Investment Highlights 7 Proven Financial Policy Framework Confirmed Ratings Affirmed Post IPO by Both Moody’s and S&P, with Stable Outlook; Strategic Objective to Continue Strengthen the Credit Profile of CTP within the IG
Slide 13: CTP – Key Investment Highlights
CTP – Key Investment 2 Highlights PRESENTED BY Richard Wilkinson, Group CFO Jan-Evert Post, Head of Funding & Investor Relations 13
Slide 14: Key Investment Highlights
Credit Update – Major Achievements Since Inaugural Bond in September 2020 Key Investment Highlights Key Investment Highlights 1 Highly attractive outlook for logistics property globally, with multiple positive demand drivers accelerated by COVID-19 2 Among Top 5 European Logistics Players with €5.9
Slide 15: Highly Attractive Outlook for Logistics Property Globally
Credit Update – Major Achievements Since Inaugural Bond in September 2020 Key Investment Highlights Highly Attractive Outlook for Logistics Property Globally, with Multiple Positive 1 Demand Drivers Accelerated By COVID-19 Multiple Drivers Underpin the Structural Growth in Demand for More Logistics
Slide 16: Top 5 European Logistics Owner-Developer with €5.9 Bn Portfolio
Credit Update – Major Achievements Since Inaugural Bond in September 2020 Key Investment Highlights Top 5 European Logistics Owner-Developer with €5.9 Bn Modern Investment 2 Portfolio Primarily in Capital Cities, High and Stable Occupancy Levels One of Only Small Number of European Logistics Compani
Slide 17: Largest Player in CEE Region, with Leading and Growing Market Share
Credit Update – Major Achievements Since Inaugural Bond in September 2020 Key Investment Highlights Largest Player in CEE Region, with Leading and Growing Market Share in 4 3 Countries Operations Focused on Capital / Major Cities in Czech Republic and Romania, as Well as Hungary and Slovakia #1 Logi
Slide 18: Premium Modern Asset Base, Grouped in Network of Multi-Use CTParks
Credit Update – Major Achievements Since Inaugural Bond in September 2020 Key Investment Highlights Parks: Premium Modern Asset Base, Grouped in Network of Multi-Use 4 “CTParks” “Parkmakers” – Strategic Focus on Development of Large Multi-Use Logistics/Business Parks; Top 10 CTParks Represent 58% of
Slide 19: 700+ International and Highly Diversified Tenant Base
Credit Update – Major Achievements Since Inaugural Bond in September 2020 Key Investment Highlights 700+ International and Highly Diversified Tenant Base, Generating Highly 5 Resilient Operating Cash Flows from €344MM(1) Annualised Rental Income ~85% of Portfolio Exposed to Warehousing Activities (2
Slide 20: Proven Vertically-Integrated Business Model Delivering Resilient Portfolio Performance
Credit Update – Major Achievements Since Inaugural Bond in September 2020 Key Investment Highlights Proven Vertically-Integrated Business Model Delivering Resilient 6 Portfolio Performance Operating KPIs Stable Occupancy of ~95%(1) Positive Like-for-Like Rental Growth(2) % at year-end Y/Y % CAGR 15A
Slide 21: Vertically Integrated Business Model Delivering Organic Development-led Growth
Credit Update – Major Achievements Since Inaugural Bond in September 2020 Key Investment Highlights Vertically Integrated Business Model Delivering Organic Development-led 6 Growth Full Control Over Entire Value Chain – Powerful Model for Organic Growth and Value Creation Tenant-Led Development Plat
Slide 22: Proven Tenant-Led Development Strategy
Credit Update – Major Achievements Since Inaugural Bond in September 2020 Key Investment Highlights Proven Tenant-Led Development Strategy Allowing to Grow Unencumbered 6 Asset Pool on Very Attractive Economics/YoC Vertically Integrated Model Allows for Low Risk/High Return Development Strategy Prim
Slide 23: Industry Frontrunner on Sustainability / ESG (1/2)
7 Industry Frontrunner on Sustainability / ESG (1/2) Focus on High Asset Quality and Sustainability Reflective of Our “Build to Long-Term Own” Strategy CTP Mid-term Green Targets Selected Implemented Actions Tree Planting Smart Metering 100% BREEAM certified portfolio Objective to be carbon neutral
Slide 24: Industry Frontrunner on Sustainability / ESG (2/2)
7 Industry Frontrunner on Sustainability / ESG (2/2) CTP Aims to Continue to Invest within Solar as a Key Sustainability Initiative CTP’s Solar Vision Key Stats of CTP’s Solar Portfolio Since 2010, all of CTP’s newly developed buildings are ‘solar ready’(1): Successfully 8 implemented pilot 6MWp pro
Slide 25: Experienced, Entrepreneurial Senior Management Team
Credit Update – Major Achievements Since Inaugural Bond in September 2020 Key Investment Highlights Driven by Experienced, Entrepreneurial Senior Management Team Led by 8 Visionary Founder/Owner/CEO Strongly Aligned with New Investors Hands-on Senior Management Team with Long Experience of Working T
Slide 26: Secure Financial Profile with Investment Grade Ratings from S&P and Moody's
Credit Update – Major Achievements Since Inaugural Bond in September 2020 Key Investment Highlights 9 Secure Financial Profile with Investment Grade Ratings from S&P and Moody's Ratings Affirmed Post IPO by Moody’s / S&P; Strategic Objective to Continue Strengthen Profile of the Company within the I
Slide 27: A Financial Statement Appendix
Financial Statement A Appendix 27
Slide 28: Historical Financial Statements (1/3)
Historical Financial Statements (1/3) Summary IFRS P&L +15% Impact of the Deka disposal €242.0 €(18.2) €223.8 €258.0 on rental income2 2018-2020 • A Rental income growth reflective of: 31-Dec YE - € MM 2018A 2019A 2020A CAGR — 1.4% LfL rental growth in 2018, 2.0% in A Rental Income 242.0 258.0 291.9
Slide 29: Historical Financial Statements (2/3)
Historical Financial Statements (2/3) Summary Balance Sheet CAGR 2018- 31-Dec YE - € MM 2018A 2019A 2020A • Includes investment properties completed A 20 (%) and acquired during the year, new Assets developments initiated, land bank (as A Investment property 4,024.0 4,721.4 5,386.2 +15.7% valued by
Slide 30: Historical Financial Statements (3/3)
Historical Financial Statements (3/3) Key Cash Flow Items 31-Dec YE - € MM 2018A 2019A 2020A • A Primarily related to deferred taxes on Net result for the year 364.9 392.2 252.1 revaluation result on investment properties Net valuation result on investment property (239.4) (406.8) (152.2) • B Busine
Slide 31: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation 31-Dec YE - € MM 2020A Before adjusting for one-off items Adjusted EBITDA1 228.6 Impairment on Hotel Portfolio 4.7 One-off Costs2 Associated with Establishing a Capital Markets Structure 3.4 Receivables Write-Off 1.4 Adjusted EBITDA2 (excl. one-off items) 238.1 Source:
Slide 32: EPRA Earnings Reconciliation
EPRA Earnings Reconciliation 31-Dec YE - € MM 2018A 2019A 2020A Earnings per IFRS Income Statement 364.9 392.2 252.1 Changes in Value of Investment Properties, Development Properties Held for Investment (239.4) (406.8) (152.2) and Other Interests Profits or Losses on Disposal of Investment Propertie
Slide 33: EPRA Net Tangible Assets Reconciliation
EPRA Net Tangible Assets Reconciliation 31-Dec YE - € MM 2018A 2019A 2020A 2018 Equity attributable to shareholder IFRS Equity Attributable to Shareholder pro forma for restructuring adjustments of 960.1 2,042.2 2,263.2 €684MM is €1,644MM Deferred Tax in Relation to Fair Value Gains of Investment Pr
Slide 34: EPRA Net Initial Yield and Topped-Up Net Initial Yield Reconciliation
EPRA Net Initial Yield and “Topped-Up” Net Initial Yield Reconciliation 31-Dec YE - € MM 2018A 2019A 2020A Investment Property – Wholly Owned 4,024.0 4,721.4 5,386.2 Land bank (277.1) (295.2) (325.9) Completed Property Portfolio (A) 3,746.9 4,426.2 5,060.3 Annualised Cash Passing Rental Income 235.8
Slide 35: B Case Studies Appendix
B Case Studies Appendix 35
Slide 36: €5.9 Bn Portfolio on 6.2% Yield, ~85% Adjacent to Capital/Major Cities
€5.9 Bn Portfolio on 6.2% Yield, ~85% Adjacent to Capital/Major Cities and with Significant Development Potential Portfolio of 70 Business Parks(1) Integrated within Main European Logistics Hubs and Transportation Corridors Baltic Sea North Sea 5.9 MM Gdansk €5.9 Bn(2) sqm 6.2% GAV Owned GLA EPRA To
Slide 37: CTPark Brno – The Tech and R&D Park
CTPark Brno – The Tech and R&D Park Technology Park Located in Czech Republic’s Innovation Hub 507 ksqm 110 ksqm Development 52 Tenants (1) and 2nd Largest City In-place GLA(1) Opportunity(1) Premier Logistics park launched by CTP in 2005; part of the high-tech cluster of the >50 tenants across Logi
Slide 38: CTPark Bor – Largest Logistics Park in Czech Republic
CTPark Bor – Largest Logistics Park in Czech Republic, 15’ from German Border ~417K sqm GLA CTPark with Direct Highway Connection to Key German Markets 417K sqm 111K sqm 90K sqm In-place GLA(1) Under Development 23 Tenants(2) (Munich, Nuremberg) Development(1) Opportunity(1) Nuremburg Prague Highly
Slide 39: CTPark Bucharest – Designed for Last Mile Logistics
CTPark Bucharest – Designed for Last Mile Logistics, 10’ from City Centre ~506K sqm GLA CTPark located in Bucharest’s Most Important Interchange 506K sqm 29K sqm 87K sqm In-place GLA(1) Under Development 79 Tenants(2) Giving Access to the Entire City (30 min by Car) Development(1) Opportunity(1) Las
Slide 40: C Green Bond Framework Appendix
Green Bond C Framework Appendix 40
Slide 41: CTP Green Bond Framework – Overview
CTP Green Bond Framework – Overview Developed in Accordance with ICMA Green Bond Principles, 2018 I Use of Proceeds II Process for Project Evaluation and Selection • Green Buildings • The Green Bond Committee will be responsible for: – BREEAM: Very good or above – CTP reviewing and approving the sel
Slide 42: CTP Green Bond Framework – Use of Proceeds
CTP Green Bond Framework – Use of Proceeds GBP Category Eligible Project Description SDG Target 1. Existing buildings owned and managed by CTP that have received the below certifications – Building Research Establishment Environmental Assessment Method (BREEAM): Outstanding, Excellent or Very Good;
Slide 43: Our Focus on Protecting the Environment – Tangible Actions
Our Focus on Protecting the Environment – Tangible Actions BREEAM 1 • 100% of our portfolio is BREEAM certified as “Very Good” or “Excellent” Certification Smart • Implementation of data-gathering technologies to better analyse and improve 2 smart buildings’ performance Buildings • ISO certification
Slide 44: CTP Green Bond Framework - Reporting
CTP Green Bond Framework - Reporting CTP will Report, Annually and Until Full Allocation, on the Use of Proceeds and Environmental Impact 1 Allocation reporting Green Bond Reports will be made available publicly on CTP’s website. To the extent practicable, the Issuer will provide information such as
Slide 45: Green Bond Framework – Second Party Opinion and Verification
CTP Green Bond Framework – Second Party Opinion and Verification Starting one year after the issuance of any green financing issuance, an independent external party will verify the internal tracking method and allocation of funds annually until full allocation of the outstanding green financing inst
Slide 46: Disclaimer
Disclaimer IMPORTANT: You must read the following before continuing. The following applies to this document, the oral presentation of the information in this document by CTP N.V. (the “Company” or “we”) or any person on behalf of the Company, and any question-and-answer session that follows the oral
Slide 47: Disclaimer
Disclaimer This document and the information contained herein do not constitute an offer to sell or the solicitation of an offer to buy any Security, commodity or instrument or related derivative, nor do they constitute an offer or commitment to lend, syndicate or arrange a financing, underwrite or
Slide 48: Parkmakers
Parkmakers CTPark Prague East Czech Republic 48