Vukile Property Fund Limited · JSE:VKE
Vukile Property Fund — Merger or Acquisition (January 2022)
11 slides from Vukile Property Fund's merger presentation, January 2022
Slide 1: Acquisition of a 21.7% Stake in Lar España
ACQUISITION OF A 21.7% STAKE IN LAR ESPAÑA INVESTOR PRESENTATION JANUARY 2022
Slide 2: Disclaimer
DISCLAIMER Information in this document should be regarded as price sensitive and has not been made public by Vukile Property Fund Limited (the “Company” or “Vukile”). For this reason, you may pursuant to receipt and presentation of this document be in the possession of inside information regarding
Slide 3: Resuming Our Growth Strategy
RESUMING OUR GROWTH STRATEGY ˃ Pre-COVID our strategy was to grow Vukile, in SA and abroad into a focused specialist retail fund ˃ Made significant progress in building the SA business into a highly focused retail business operating in the sweet spot of lower LSM township and rural retail ˃ Made sig
Slide 4: Investment Highlights
INVESTMENT HIGHLIGHTS LAR ESPAÑA IS A LEADING, PUBLICLY LISTED, SPANISH SOCIMI > Owns a portfolio of 14 retail assets > Large international and national tenants including the most recognizable brands in Spain > Occupancy rate of 95% with a total GLA of 551,405m² > Run by an experienced management te
Slide 5: Lar España Snapshot
LAR ESPAÑA SNAPSHOT LAR ESPAÑA HAS PROVEN TO BE A RESILIENT OPERATOR IN THE SPANISH RETAIL SEGMENT – ITS COMPLIMENTARY PORTFOLIO, OPERATIONAL EXCELLENCE AND STRATEGIC ALIGNMENT MAKE IT A COMPELLING INVESTMENT FOR VUKILE AND CASTELLANA • Leading retail platform with the largest owned GLA in Spain • D
Slide 6: Geographically Complementary
GEOGRAPHICALLY COMPLEMENTARY BY ACQUIRING A SHAREHOLDING IN LAR ESPAÑA, CASTELLANA WILL HAVE EXPOSURE TO THE ENTIRE SPANISH PENINSULA CASTELLANA RETAIL CENTRES LAR ESPAÑA RETAIL CENTRES 6 8 1 1 El Faro (Extremadura) 1 Megapark + Leisure Area (País Vasco) 12 2 Bahía Sur (Andalusía) 2 Gran Vía Vigo (P
Slide 7: Lar España Share Price Performance
LAR ESPAÑA SHARE PRICE PERFORMANCE SHARE PRICE IS TRADING AT A DEEP DISCOUNT TO NAV RELATIVE TO PRE-COVID LEVELS AND NOT REFLECTIVE OF CURRENT OBSERVED OPERATIONAL PERFORMANCE LAR ESPAÑA SHARE PRICE (EUR) 12 10 8 6 4 2 - LAR ESPAÑA DISCOUNT TO NAV 0% -20% Average discount to NAV post first recorded
Slide 8: Transaction Salient Terms
TRANSACTION SALIENT TERMS SHARES BEING VENDOR PRICE PER SHARE ACQUIRED LVS II LUX XII S.À EUR 5.35 LAR ESPAÑA R.L.(1) DISCOUNT TO EPRA NTA OF 48% NUMBER OF AGGREGATE CLOSING SHARES CONSIDERATION 26 JANUARY 2022 18 157 459 EUR 97 142 406 CONDITIONS OTHER SALIENT SHAREHOLDER PRECEDENT TERMS APPROVAL N
Slide 9: Funding
FUNDING VUKILE IS FUNDING THE TRANSACTION THROUGH RECYCLING OF ASSETS FUNDING ILLUSTRATION TOTAL INVESTMENT SOURCES OF VUKILE NEW LOAN > The total investment amount of c. €100m AMOUNT €100m FUNDING €85m REPAYMENT R1 129m (including transaction cost) will be funded 100 through 1) CASTELLANA CASH 90 €
Slide 10: Vukile Financial Effects
VUKILE FINANCIAL EFFECTS THE TRANSACTION IS FORECAST TO BE MATERIALLY ACCRETIVE TO VUKILE IN BOTH THE SHORT AND LONG TERM FY2022 FY2023 FFO per share NAV per share Neutral Neutral LTV Notes: 1) The forecast financial effects above have not been reviewed or reported on by Vukile’s auditors 10
Slide 11: Questions
QUESTIONS VUKILE PROPERTY FUND REAL ESTATE. REAL GROWTH. 11
Vukile Property Fund — Merger or Acquisition (January 2022) on 6ix