Rmb Holdings Limited · JSE:RMH
Rmb — Shareholder Meeting (December 2020)
22 slides from Rmb's shareholder meeting presentation, Dec 3, 2020
Slide 1: RMH Annual General Meeting
RMH ANNUAL GENERAL MEETING 3 DECEMBER 2020
Slide 2: Contents
PAGE 2 CONTENTS 1 RMH: SHAREHOLDING STRUCTURE POST UNBUNDLING 2 RMHP: PORTFOLIO UPDATE 3 REFLECTIONS ON THE RMH DISCOUNT TO NAV 4 STRATEGIC DIRECTION 5 OTHER MATTERS
Slide 3: RMH shareholding post unbundling
SECTION 1 RMH shareholding post unbundling
Slide 4: RMH Shareholding Structure
PAGE 4 RMH SHAREHOLDING STRUCTURE Shareholder base continues to evolve post unbundling 12.5% 11.9% 8.9% 5.2% 5.1% 4.4% 2.5% 2.2% 47.3% Public Royal Bafokeng Steyn Allan NinetyOne Dippenaar Investment Prudential PSG AM Other Holdings Capital Gray SA Trust Corporation Most recent Geographic dispersion
Slide 5: RMHP: portfolio update
SECTION 2 RMHP: portfolio update
Slide 6: Company Update: APH
PAGE 6 COMPANY UPDATE: APH 1 2 3 OPERATIONAL PERFORMANCE FINANCIAL PERFORMANCE DEVELOPMENTS • Atterbury’s September and October • APH continues to manage its gearing levels • Recently completed: Richmond Retail and collection figures show collections at close and has committed to disposing of certai
Slide 7: Company Update: Atterbury Europe
PAGE 7 COMPANY UPDATE: ATTERBURY EUROPE 1 2 3 OPERATIONAL PERFORMANCE FINANCIAL PERFORMANCE DEVELOPMENTS • Atterbury Europe has seen footfall and • Given RMH’s 30 June year end, interim CYPRUS trading densities fluctuating investment property valuations for the • Refurbishment of Mall of Engomi is o
Slide 8: Company Update: Atterbury Europe
PAGE 8 COMPANY UPDATE: ATTERBURY EUROPE LATEST UPDATE ON THE BUCHAREST DEVELOPMENT • RMH Property has a loan of €50 million to Atterbury Europe. This loan will be converted to share premium on the signing of a superficies agreement between Stoneberg (the Atterbury Europe and Iulius Group development
Slide 9: Company Update: Divercity and Integer Properties
PAGE 9 COMPANY UPDATE: DIVERCITY 1 2 3 OPERATIONAL PERFORMANCE FINANCIAL PERFORMANCE DEVELOPMENTS • The impact of COVID was felt across the • The decline in the funds fair value for the 12 • The development of Jewel City (mixed use Divercity portfolio with vacancies and collections months ended 30 J
Slide 10: Reflections on discount to NAV
SECTION 3 Reflections on discount to NAV
Slide 11: Unpacking the RMH Discount
PAGE 11 UNPACKING THE RMH DISCOUNT Possible contributors to the discount: 1 OUTDATED NAV DETERMINATION: The lag in asserting NAV, as well as the market’s sentiment and conviction of NAV, is a large contributor to trading discount to underlying value 2 DEVELOPMENT MODEL: The listed market generally a
Slide 12: Unpacking the RMH Discount
PAGE 12 UNPACKING THE RMH DISCOUNT Possible contributors to the discount: 4 OUTLOOK FOR CEE VS SA • South Africa has the lowest GDP prospects over the last 3 years relative to RMH’s European countries • CEE has relied heavily on consumption-powered growth over the past decade • GDP growth forecast f
Slide 13: Unpacking the RMH Discount
PAGE 13 UNPACKING THE RMH DISCOUNT Possible contributors to the discount: 6 ILLIQUID UNLISTED INVESTMENTS • This is more pronounced in a post-COVID-19 environment where many listed peers are seeking liquidity • With our stated strategy to divest in time, the market will adopt a wait and see attitude
Slide 14: Strategic direction
SECTION 5 Strategic direction
Slide 15: Strategic Direction
PAGE 15 STRATEGIC DIRECTION Key markers 1 CONTEXT • RMH aims to deliver the best returns to the whole body of shareholders. 2 PORTFOLIO NAV GROWTH • RMH will continue to guide, support and challenge its portfolio companies to deliver on the development pipeline and protect and enhance the NAV. • Thi
Slide 16: Strategic Direction: Capital Structure
PAGE 16 STRATEGIC DIRECTION Key markers 3 CAPITAL STRUCTURE • Given the timing and specifics of the FirstRand unbundling, RMH was appropriately capitalized and no surplus capital was created. • Current interest rates have resulted in lower than expected yield on the working capital endowment. • Prud
Slide 17: Strategic Direction: Monetisation
PAGE 17 STRATEGIC DIRECTION Key markers 4 MONETISATION • Our strategy to monetise the RMH Property portfolio in an orderly manner and return maximum value to RMH shareholders, is intact. • The long-term interests of shareholder remain the all encompassing test for this strategy. • RMH Property conti
Slide 18: Other matters
SECTION 6 Other matters
Slide 19: Touching on Other Matters
PAGE 19 TOUCHING ON OTHER MATTERS Disclosure of information • RMH has taken note of shareholders request for further disclosure of information from the underlying property companies, including key metrics such as trading density and LTVs in order to form a more fulsome view of the true NAV of the gr
Slide 20: Resolutions
SECTION 5 Resolutions
Slide 21: Resolutions
PAGE 21 RESOLUTIONS ORDINARY RESOLUTION 1.1 to 1.3 Re-election of directors by way of separate resolutions: • Ms Albertinah Kekana 1 • Mr Per Lagerstrom • Mr Murphy Morobe Appointment of director: • Mr Udo Lucht ORDINARY RESOLUTION 2 2 Place authorised and unissued ordinary shares totaling 5% (five
Slide 22: Resolutions
PAGE 22 RESOLUTIONS SPECIAL RESOLUTION 1 1 Approval of non-executive directors’ remuneration with effect from 1 December 2020 SPECIAL RESOLUTION 2 2 General authority to repurchase company shares SPECIAL RESOLUTION 3 3 Issue of shares or options to persons listed in section 41(1) of the Companies Ac