Charter Hall Retail Reit · ASX:CQR
Charter Hall Retail Reit — Merger or Acquisition (September 2024)
17 slides from Charter Hall Retail Reit's merger presentation, Sep 9, 2024
Slide 1: Takeover offer for Hotel Property Investments with institutional partner
Charter Hall Retail REIT (ASX:CQR) Takeover offer for Hotel Property Investments (ASX:HPI) with institutional partner 9 September 2024 Charter Hall Retail REIT CharterofHall Acquisition HotelRetail REIT Property – Takeover offer for Hotel Property Investments with institutional partner Investments
Slide 2: Agenda
Agenda Page reference 1 Transaction overview 3–4 2 Key benefits for HPI Securityholders 5–6 3 Strategic rationale for CQR Unitholders 7 – 11 4 Offer details 12 – 14 5 Additional information 15 – 17 2
Slide 3: Transaction overview
Transaction overview Charter Hall Retail REIT Takeover offer for Hotel Property Investments with institutional partner
Slide 4: Transaction overview
Transaction overview ― Charter Hall Retail REIT (“CQR”) and a Charter Hall managed trust on behalf of Host-Plus Pty Limited (“Hostplus”), (via a Charter Hall Group trustee, the “Bidder”) Transaction have today lodged an off-market takeover bid to acquire all of the securities on issue in Hotel Prope
Slide 5: Key benefits for HPI Securityholders
Key benefits for HPI Securityholders Charter Hall Retail REIT Takeover offer for Hotel Property Investments with institutional partner
Slide 6: The Offer delivers an attractive cash premium for HPI Securityholders
The Offer delivers an attractive cash premium for HPI Securityholders The Offer will deliver significant benefits to HPI Securityholders including: HPI Security Price Performance (last twelve months)1 ✓ An attractive premium to HPI’s historical trading levels $3.80 ✓ Certainty of all-cash considerat
Slide 7: Strategic rationale for CQR Unitholders
Strategic rationale for CQR Unitholders Charter Hall Retail REIT Takeover offer for Hotel Property Investments with institutional partner
Slide 8: Strategic rationale for CQR Unitholders
Strategic rationale for CQR Unitholders The proposed transaction provides a unique opportunity to acquire a significant portfolio of high quality, net lease retail assets 1 2 High quality portfolio with strong tenant covenant Attractive lease structure and growth profile ✓ Diversified portfolio of 5
Slide 9: Strategic rationale for CQR Unitholders (continued)
Strategic rationale for CQR Unitholders (continued) HPI’s portfolio is predominantly eastern seaboard weighted with a secure 9.1 year WALE and 100% occupancy Queensland Gladstone Brisbane and Clermont New South Wales # of Value % of total Cairns Club Hotel suburbs Commercial Hotel Griffith State Dun
Slide 10: Strategic rationale for CQR Unitholders (continued)
Strategic rationale for CQR Unitholders (continued) Proposed acquisition cap rate is more than 20% higher than CQR’s current net lease retail cap rates, providing accretion to the CQR portfolio and furthering its strategic up-weighting to higher rent growth, lower capex retail assets Value Number of
Slide 11: CQR portfolio impact
CQR portfolio impact The proposed transaction would be accretive to CQR’s WARR, occupancy and WALE Property metrics as at 30 June 2024 CQR pre transaction HPI portfolio (50% interest)1 CQR post transaction2 Variance Number of properties 641 58 699 +9.0% Portfolio value $4,048m $623m $4,671m +15.4% P
Slide 12: Offer details
Offer details Charter Hall Retail REIT Takeover offer for Hotel Property Investments with institutional partner
Slide 13: Offer details
Offer details Offer ― The Bidder is offering to acquire all of the securities in HPI by way of an off-market takeover for cash consideration of $3.65 per HPI Security1 consideration ― The Offer is subject to conditions including the following: 1. Minimum acceptance: the HPI Securities the Bidder hol
Slide 14: Indicative timetable
Indicative timetable Key Dates Date Announcement Date Monday, 9 September 2024 Date of Bidder’s Statement Monday, 9 September 2024 Date of Offer Monday, 23 September 2024 7.00pm (Sydney time) Offer closes (unless extended or withdrawn)* Monday, 4 November 2024 * Note that these dates may change as p
Slide 15: Additional information
Additional information Charter Hall Retail REIT Takeover offer for Hotel Property Investments with institutional partner
Slide 16: Glossary
Glossary ASX Australian Securities Exchange Charter Hall Wholesale Management Limited as trustee for the CH Investment Trusts, as defined in the Bidder’s Statement, the ultimate unitholders of which are Bidder Charter Hall Retail REIT and Host-Plus Pty Limited, together with Charter Hall Group (with
Slide 17: Important notice and disclaimer
Important notice and disclaimer This presentation ("Presentation") has been prepared by and is the sole responsibility of Charter Hall Retail Management Limited (ABN 46 069 709 468, Australian Financial Services Licence Number 246 996) (“CHRML”) as the responsible entity for Charter Hall Retail REIT
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