National Storage Reit · ASX:NSR
National Storage Reit — Corporate Update (June 2021)
32 slides from National Storage Reit's corporate update, Jun 8, 2021
Slide 1: Business Update and Equity Raising
National Storage REIT BUSINESS UPDATE AND EQUITY RAISING 8 JUNE 2021 NOT FOR RELEASE TO U.S. WIRE SERVICES OR DISTRIBUTION IN THE UNITED STATES
Slide 2: Disclaimer
DISCLAIMER This presentation has been prepared by National Storage REIT (“NSR”) comprising National Storage Holdings Disclaimer Limited (ACN 166 572 845) (“NSHL”) and National Storage Financial Services Limited (ACN 600 787 246 and To the maximum extent permitted by law, no member of NSR or any of i
Slide 3: Disclaimer (cont.)
DISCLAIMER (cont.) Market and industry data Forward-looking statements Certain market and industry data used in connection with this presentation may have been obtained from This presentation contains certain “forward-looking statements”, including about NSR’s expectations about the research, survey
Slide 4: Disclaimer (cont.)
DISCLAIMER (cont.) Forward-looking statements (cont.) Neither the Joint Lead Managers nor any other Limited Party makes any recommendation as to whether any Accordingly, no assurances or guarantees of future performance, profitability, distributions, or returns of capital potential investor should p
Slide 5: Contents
CONTENTS ▪ Executive Summary 5 ▪ Business Update 7 ▪ Equity Raising 13 ▪ Appendix I – Key Investment Risks 19 ▪ Appendix II – International Offer Restrictions 24 ▪ Appendix III – Summary of Underwriting Agreement 28 5
Slide 6: Executive Summary
EXECUTIVE SUMMARY BUSINESS UPDATE AND EQUITY RAISING TO REPLENISH INVESTMENT CAPACITY ▪ Strong trajectory announced as part of the 1H FY21 results has continued into 2H FY21 – market conditions and ongoing portfolio optimisation continue to drive record occupancy and rate growth Operational ▪ REVPAM
Slide 7: Contents
CONTENTS ▪ Executive Summary 5 ▪ Business Update 7 ▪ Equity Raising 13 ▪ Appendix I – Key Investment Risks 19 ▪ Appendix II – International Offer Restrictions 24 ▪ Appendix III – Summary of Underwriting Agreement 28 7
Slide 8: Operational Update
OPERATIONAL UPDATE RECORD HIGH OCCUPANCY AND REVENUE GROWTH OVER THE PAST 12 MONTHS 240 REVPAM June 2019 Australian Centres ▪ Strong trajectory announced as part of the 1H FY21 results has continued into 2H FY21, supported by market conditions and ongoing portfolio 230 optimisation ▪ Revenue managem
Slide 9: Operational Update (cont.)
OPERATIONAL UPDATE (cont.) CONSISTENTLY DELIVERING OCCUPANCY GROWTH ▪ Combined occupancy for Australian and New Zealand portfolios Australia and New Zealand Combined Occupancy of 86.7% as at 30 April 2021(+9.1%)(1) 90.0% ▪ Australian Portfolio: 86.8% (+10.3%)(1) 80.0% ▪ New Zealand Portfolio: 86.5%
Slide 10: Acquisition Update
ACQUISITION UPDATE CONTINUING NSR’S TRACK RECORD OF HIGH-QUALITY ACQUISITIONS ACROSS AUSTRALASIA ▪ Acquired 24 centres and 3 development sites for $373 million in FY21 to date, adding 134,400m2 of NLA to NSR’s portfolio(1) Portfolio value (A$ Million) ▪ Scalability of the operating platform continue
Slide 11: Development and Expansion Update
DEVELOPMENT AND EXPANSION UPDATE INCREASING FOCUS ON DEVELOPMENT AND EXPANSION PROJECTS ▪ Target projects providing additional built capacity in key markets 10 projects completed FY21 YTD adding 58,000m2 of NLA ▪ Locations selected after extensive heat mapping based on socio-economic demographics an
Slide 12: National Storage REIT Track Record
NATIONAL STORAGE REIT TRACK RECORD PROVEN TRACK RECORD OF DELIVERING STRONG TOTAL RETURNS FOR NSR SECURITYHOLDERS ▪ NSR’s ongoing acquisition and development strategy Total Securityholder Returns Since IPO (Annualised)(1) combined with its fully integrated, scalable platform has National Storage ASX
Slide 13: Contents
CONTENTS ▪ Executive Summary 5 ▪ Business Update 7 ▪ Equity Raising 13 ▪ Appendix I – Key Investment Risks 19 ▪ Appendix II – International Offer Restrictions 24 ▪ Appendix III – Summary of Underwriting Agreement 28 13
Slide 14: Equity Raising Rationale and Outlook
EQUITY RAISING RATIONALE AND OUTLOOK $325 MILLION EQUITY RAISING TO REPLENISH INVESTMENT CAPACITY ▪ NSR has deployed $373 million into acquisitions in FY21 to date, taking advantage of attractive acquisition and development opportunities for high-quality and strategically located assets(1) ▪ Consist
Slide 15: Equity Raising
EQUITY RAISING FULLY UNDERWRITTEN ACCELERATED NON-RENOUNCEABLE ENTITLEMENT OFFER ▪ A fully underwritten 1-for-6.27 accelerated non-renounceable entitlement offer of approximately $325 million ▪ The Entitlement Offer represents 15.9% of total Stapled Securities currently on issue ▪ The offer price pe
Slide 16: Sources & Uses and Key Metrics
SOURCES & USES AND KEY METRICS PROCEEDS USED TO FUND ACQUISITIONS AND PAY DOWN DEBT Sources and uses Key metrics Sources $m Key metrics Entitlement Offer proceeds $325.5 Issue price under the Entitlement Offer $2.00 Total $325.5 Discount to last close 3.8% Uses $m Discount to TERP 3.3% Acquisitions
Slide 17: Timetable
TIMETABLE INDICATIVE TIMETABLE Event Date(1) Trading halt and announcement of the Entitlement Offer Tuesday, 8 June 2021 Institutional Entitlement Offer opens and closes Tuesday, 8 June 2021 Trading resumes on an ex-Entitlement Offer basis Wednesday, 9 June 2021 Entitlement Offer Record Date 7.00pm
Slide 18: Pro Forma Balance Sheet
PRO FORMA BALANCE SHEET GEARING TO DECREASE TO 24% AND NTA TO INCREASE TO $1.74 PER STAPLED SECURITY Dec-20 Post balance sheet Dec-20 pro forma Acquisitions and Dec-20 pro forma $m (reported) date adjustments(2) (pre-transaction) Entitlement Offer (post-transaction) Cash 48.1 48.1 48.1 Investment pr
Slide 19: Contents
CONTENTS ▪ Executive Summary 5 ▪ Business Update 7 ▪ Equity Raising 13 ▪ Appendix I – Key Investment Risks 19 ▪ Appendix II – International Offer Restrictions 24 ▪ Appendix III – Summary of Underwriting Agreement 28 19
Slide 20: Key Investment Risks
KEY INVESTMENT RISKS Investors should carefully consider the risk factors described below, in addition to the other information in this value of Stapled Securities or both. Reduced discretionary consumption, increased consumer uncertainty document and publicly available information of NSR, before ma
Slide 21: Key Investment Risks (cont'd)
KEY INVESTMENT RISKS (CONT’D) 1.9 Leasehold interests not available, this could adversely affect NSR’s ability to acquire new properties and to fund capital NSR operates a number of self-storage centres from properties owned by third parties under lease expenditure, and NSR may need to realise asset
Slide 22: Key Investment Risks (cont'd)
KEY INVESTMENT RISKS (CONT’D) 1.18 Insolvency conditions are waived and the Total Acquisitions proceed, there may be an adverse impact on the financial In the event of any liquidation or winding up of NSR the claims of NSR’s creditors will rank ahead of those of its position and performance of NSR.
Slide 23: Key Investment Risks (cont'd)
KEY INVESTMENT RISKS (CONT’D) 2.3 Inflation Lower than expected inflation rates generally or specific to the sectors in which NSR operates could reduce the rate of increase in inflation-linked revenues. Higher than expected inflation is likely to increase operating and development costs. Such change
Slide 24: Contents
CONTENTS ▪ Executive Summary 5 ▪ Business Update 7 ▪ Equity Raising 13 ▪ Appendix I – Key Investment Risks 19 ▪ Appendix II – International Offer Restrictions 24 ▪ Appendix III – Summary of Underwriting Agreement 28 24
Slide 25: International Offer Restrictions
INTERNATIONAL OFFER RESTRICTIONS This document does not constitute an offer of New Securities in any jurisdiction in which it would be unlawful. Language of documents in Canada. Upon receipt of this document, each investor in Canada hereby In particular, this document may not be distributed to any p
Slide 26: International Offer Restrictions (cont'd)
INTERNATIONAL OFFER RESTRICTIONS (CONT’D) New Zealand publicly distributed or otherwise made publicly available in Switzerland. The New Securities will only be This document has not been registered, filed with or approved by any New Zealand regulatory authority offered to investors who qualify as "p
Slide 27: International Offer Restrictions (cont'd)
INTERNATIONAL OFFER RESTRICTIONS (CONT’D) United States This document does not constitute an offer to sell, or a solicitation of an offer to buy, securities in the United States. The New Securities have not been, and will not be, registered under the US Securities Act of 1933 or the securities laws
Slide 28: Contents
CONTENTS ▪ Executive Summary 5 ▪ Business Update 7 ▪ Equity Raising 13 ▪ Appendix I – Key Investment Risks 19 ▪ Appendix II – International Offer Restrictions 24 ▪ Appendix III – Summary of Underwriting Agreement 28 28
Slide 29: Summary of Underwriting Agreement
SUMMARY OF UNDERWRITING AGREEMENT National Storage Holdings Limited (“Company”) and National Storage Financial Services Limited (“RE”) as responsible entity for the National Storage Property Trust (“Trust”) (each of the Company and the RE an “Issuer” and together the “Issuers”) have entered into an
Slide 30: Summary of Underwriting Agreement cont'd
SUMMARY OF UNDERWRITING AGREEMENT CONT’D • ASX makes any official statement to any person, or indicates to the Issuers or the Joint Lead Managers that it will not grant permission for the official quotation of the New Securities; • the Issuers withdraw all or part of the Entitlement Offer; • an Issu
Slide 31: Summary of Underwriting Agreement cont'd
SUMMARY OF UNDERWRITING AGREEMENT CONT’D • there is introduced, or there is a public announcement of a proposal to introduce, into the Parliament of Australia or any State or Territory of Australia a new law or regulatory directive, or the Reserve Bank of Australia, or any Commonwealth or State auth
Slide 32: Thank You
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