Pro Kapital Grupp AS · OMXTSE:PKG1T
Pro Kapital Grupp AS — Investor Presentation (April 2015)
26 slides from Pro Kapital Grupp AS's investor presentation, April 2015
Slide 1: Pro Kapital Grupp Investor Presentation
PRO KAPITAL GRUPP Investor Presentation April, 2015
Slide 2: Disclaimer
Disclaimer This Presentation has been prepared by Aktsiaselts Pro Kapital Grupp (the “Company” or “PKG”) for information purposes only and is not to be relied upon in substitution for the exercise of independent judgment. This Presentation does not constitute or form part of, and should not be const
Slide 3: Investment Highlights
Investment Highlights Opportunity to capitalize on recovering Baltic real estate market Real estate company mainly focusing on development of retail and upscale residential properties in the capitals of Baltic States Track record of successful project development in the Baltic since mid 1990s
Slide 4: Company Overview
Company Overview Track record Corporate Governance Actual Portfolio Priority Projects Figures 2014 vs FY 2011 - 2013
Slide 5: Track Record
Track Record PKG is one of the leading real estate development and management companies in the Baltic region The Company was established in 1994, making it one of the first major players in the Estonian real estate market In 1997 and 1998 PKG expanded to Latvia and Lithuania, respectively Th
Slide 6: Corporate Governance
Corporate Governance Shareholders Supervisory Council Emanuele Bozzone Chairman 8% Clearstream Banking Clients Pertti Huuskonen Member 28% Eurofiduciaria Petri Olkinuora Member S.r.l. Svalbork Invest 13% OÜ Sueno Latino 13% As of 10.03.2015, 42,6% of the shares are controlled by the founder of Pro K
Slide 7: Actual portfolio: appraisal and breakdown
Actual portfolio: appraisal and breakdown Breakdown of the portfolio (€m) Projects in PKG’s portfolio Appraised Project value 7,5 19 Peterburi Rd Shopping Centre €56.4m Estonia Tondi Quarter (full project) €39.0m 48,9 Latvia Tallinas St. Residential Complex €6.2m Lithuania 136,8 Germany Kliversala R
Slide 8: Actual portfolio: description
Actual portfolio: description Priority development project pipeline Project Type GSA/GLA Development Description Means of exit Development of a large commercial project located in Tallinn Peterburi Rd Sale after management and Commercial 51,382 m2 2014 – 2017 Lasnamäe district near the junction of S
Slide 9: Actual portfolio: description
Actual portfolio: description Current cash flow portfolio Project Type GSA/GLA Development Description Means of exit PK Parkhotel Continued operations until Hotel 3,383 m2 NA Hotel in the historical centre of Bad Kreuznach, Germany Kurhaus attractive exit possible PK Ilmarine Hotel in the Ilmarine Q
Slide 10: Priority Projects to be developed 1.
Priority Projects to be developed 1. 1 2 3 Parameter Peterburi Rd Shopping Centre Tondi Quarter (7 ap. houses) Tallinas St. Residential Complex Location Tallinn, Estonia Tallinn, Estonia Riga, Latvia Project scope Shopping centre Residential Residential / commercial Peterburi Rd. Shopping Centre is
Slide 11: Priority Projects to be developed 2.
Priority Projects to be developed 2. Parameter Saltiniu Namai Residential Complex Kliversala Residential Complex (1st phase) (2 apartment houses) Location Riga, Latvia Vilnius, Lithuania Project scope Residential Residential Development of premium residential and commercial Development of premium re
Slide 12: Tallinn
Tallinn Kalaranna Ilmarine District1 PK Ilmarine Hotel CBD Jegorovi Pro Kapital Business Centre Old Town Rüütli 13 Vene 19 Domina City Hotel Demini Kristiine Shopping Centre Peterburi Rd Shopping Centre Tondi Quarter Map: Google Maps Completed projects Development projects 1 Ilmarine district includ
Slide 13: Riga
Riga Zvaigznes Tallinas Domina Shopping Centre PK Hotel Riga Pulkveža Brieža 11 Stabu 19 Old Town Kliversala Vecpilsētas 8A Kuģu 26 Map: Google Maps Completed projects Development projects Source: Company 13
Slide 14: Vilnius
Vilnius Old Town Domina Plaza Saltiniu Namai1 Saltiniu Namai 2 Map: Google Maps Completed projects Development projects Source: Company 14
Slide 15: Balance Sheet
Balance Sheet 2014 vs. 2011 - 2013 € thousand FY 2014 FY 2013 FY 2012 FY 2011 Inventories and investment property, which include finished real estate and real estate under construction, represent the largest part of the Company’s Non-current assets 106,152 47,210 48,166 48,784 balance sheet (82% a
Slide 16: Income Statement
Income Statement 2014 vs. 2011 - 2013 In 2014 the Company´s result was influenced by reclassification of assets and recording them in fair value € thousand FY 2014 FY 2013 FY 2012 FY 2011 (net result from adjustment €28,6 m) Recurring Revenues 10,335 12,287 16,078 17,449 Cost of goods/services sol
Slide 17: Real estate Baltic's market background
Real estate Baltic's market background Macro figures Residential market Retail market
Slide 18: Baltic Real Estate Market: Growth Opportunities
Baltic Real Estate Market: Growth Opportunities Why is real estate market of the Baltic capitals still very interesting? Young market not yet evolved Prices are still far below the level of European capitals There is no stock of upper scale apartments that can absorb the actual demand Average a
Slide 19: Baltic Real Estate Market: Residential sector
Baltic Real Estate Market: Residential sector Which are the interesting real estate sectors? The residential sector of the upper class segment The market is not yet mature since it has not passed different cycles like it happened in other area of consumption such as cars or luxury goods that have
Slide 20: Baltic Real Estate Market: Retail sector
Baltic Real Estate Market: Retail sector Which are the interesting real estate sectors? The Shopping centers segment: Existing shopping centres projected and built close to 10 years ago; No vacancy in any existing shopping center and many new brands keen to enter to the market None of the shop
Slide 21: Main Shopping Centers in Tallinn
Main Shopping Centers in Tallinn Viru Keskus Opened in 2004 GLA of 23,000 m2 Owned by a group of investors CBD Rocca Al Mare Old Town Panorama Opened in 1999; expanded in 2009 Planned shopping centre with GLA of GLA of 53,000 m2 55,000 m2 Owned by Citycon Status: Cancelled January 20
Slide 22: Appendix
PROKAPITAL Appendix i eee oe a ee ee = aoe
Slide 23: Historical Track Record
Historical Track Record The completed (e.g. exited) projects are listed in the table below Project Type GSA/GLA Development Description Means of exit Domina Domina Shopping was one of the largest shopping centres in Riga when Sold to German investors in Commercial 48,500 m2 2001-2007 Shopping Centre
Slide 24: Selected Completed Development Projects
Selected Completed Development Projects Domina Shopping Centre Kristiine Shopping Centre Domina Shopping Centre is one of the first and largest shopping Kristiine Shopping Centre is the one of the first and largest centres in Riga, located on one of Riga’s main streets shopping centres in Tallin
Slide 25: Selected Completed Development Projects
Selected Completed Development Projects Kuģu street 26 Pulkveža Brieža street 11 Kuģu street 26 is a residential building situated next to the Pulkveža Brieža street 11 is an apartment building developed river Daugava with an exceptional view of the classical Riga in the same complex with Domina
Slide 26: Contacts: Investor Relation
Contacts: Investor Relation Allan Remmelkoor Allan.Remmelkoor @prokapital.ee www.prokapital.com 26
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