Abacus Group · ASX:ABG
Abacus — Investor Presentation (March 2022)
24 slides from Abacus's investor presentation, Mar 17, 2022
Slide 1: Equity Raising Presentation
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Abacus Property Group Equity Raising Presentation 17 March 2022
Slide 2: Important notice and disclaimer
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Important notice and disclaimer Important information This presentation and the Announcement may not be released or distributed in the United States. The distribution of this presentation in other jurisdictions outside Australia may also be restri
Slide 3: Important notice and disclaimer
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Important notice and disclaimer Investors should note that this presentation and the Announcement contains pro forma financial information. The Effect of rounding pro forma financial information provided in this presentation and the Announcement i
Slide 4: Important notice and disclaimer
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Important notice and disclaimer The Underwriter Parties make no recommendations as to whether you or your related parties should participate in the Placement or the SPP nor do they make any representations or warranties to you concerning the Place
Slide 5: Equity raising overview
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Equity raising overview Fully underwritten $200 million Placement to replenish investment capacity for continued deployment into identified developments and value accretive acquisitions ─ Abacus is undertaking a fully underwritten Institutional Pl
Slide 6: Strategic rationale
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Strategic rationale The Placement positions Abacus to continue its strong momentum upgrading portfolio quality via development, expansions, and acquisitions 1. SELF STORAGE TAILWINDS 2. SELF STORAGE ORGANIC GROWTH ✓ Strong Self Storage income grow
Slide 7: Self Storage operating metric tailwinds
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Self Storage operating metric tailwinds Abacus’ Self Storage portfolio is valued at $2.5 billion and represents 50% of the Group’s total assets1 ─ Abacus’ established Self Storage portfolio2 of $1.2 billion yielding 5.7% on an annualised basis. Th
Slide 8: Self Storage development pipeline
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Self Storage development pipeline Increasing capital directed towards Abacus' strongly performing portfolio driving accretive REVPAM growth over time. Anticipated stabilised yield on cost of 7%+1 Rationale Pipeline Estimated cost to complete New d
Slide 9: Equity raising summary
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Equity raising summary ─ Abacus is undertaking a fully underwritten Institutional Placement to raise $200 million ─ Abacus will also undertake a non-underwritten SPP to eligible Abacus securityholders in Australia and New Zealand to raise up to $1
Slide 10: Key metrics, sources and uses
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Key metrics, sources and uses1 Sources and uses Key metrics Sources A$m Key metrics Placement proceeds $200 Issue Price under the Placement $3.38 Total $200 Discount to last close 5.1% Discount to 5-day VWAP 3.7% Uses A$m FY22 DPS yield at Issue P
Slide 11: Indicative timetable
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Indicative timetable Event1 Date (Sydney time) Announcement of the Equity Raising Thursday, 17 March 2022 Placement Placement bookbuild Thursday, 17 March 2022 Announcement of outcome of the Placement Friday, 18 March 2022 Settlement of new staple
Slide 12: Appendix
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Abacus Property Group Appendix
Slide 13: Pro forma balance sheet
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Pro forma balance sheet Post balance date transactions HY22 pro and forma post $ millions HY22 Placement1 Placement Cash Investment properties Equity accounted investments Intangibles 139.9 3,972.2 170.7 106.0 (71.1) 303.4 68.8 4,275.6 170.7 106.0
Slide 14: Capital deployment
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Capital deployment Investment of approximately $3.2 billion1,2 into key sectors since FY17 has transformed Abacus into a strong asset backed, annuity style investment house Movement in Investment Portfolio1,2 (in $ millions) $5.0 billion (27) 247
Slide 15: Development case study: Storage King Brookvale
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Development case study: Storage King Brookvale STORAGE KING BROOKVALE, NSW ▪ Purpose built facility over 4 levels ▪ Adjoining new Brookvale Heath Centre and positioned opposite Warringah Mall ▪ Prominent commercial exposure to over 40,000 vehicles
Slide 16: Development case study: Storage King Robina
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Development case study: Storage King Robina STORAGE KING ROBINA, QLD ▪ Purpose built facility over 5 levels ▪ Prominent commercial exposure to over 80,000 vehicles per day on the M1 Motorway ▪ Stabilisation tracking ahead of expectations ▪ Expect
Slide 17: Key risks
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Abacus Property Group Key risks
Slide 18: Key risks
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Key risks A number of risks and uncertainties, which are both specific to Abacus and of a more general nature, may affect Business Specific Risks Abacus' business, financial condition and operational results and the value of the Abacus Securities.
Slide 19: Key risks
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Key risks Acquisition People and culture As described in this presentation, Abacus is identifying, and will continue to identify, new investment Abacus is reliant on attracting, retaining and developing talented employees and providing an inclusiv
Slide 20: Key risks
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Key risks Change in value of, and income from, properties Inflation and construction costs Returns from property investments largely depend on the rental income generated from the property and the Higher than expected inflation rates generally, or
Slide 21: Key risks
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Key risks Insurance Co-ownership risk Abacus holds and purchases insurance, customarily carried by property owners, managers, developers and Abacus holds some of its interests in its portfolios with its partners through joint co-ownership arrangem
Slide 22: Key risks
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Key risks Underwriting – Abacus breaches its constitution or certain applicable laws, rules or regulations; – there is introduced into the Parliament of Australia or any State of Australia, a new law, or a government The Placement is being underwr
Slide 23: Foreign jurisdictions
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Abacus Property Group Foreign jurisdictions
Slide 24: Foreign jurisdictions
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES Foreign jurisdictions International Offer Restrictions Singapore This document does not constitute an offer of Stapled Securities of Abacus in any jurisdiction in which it would be This document has not been registered as a prospectus with the Mon