WHA Premium Growth Real Estate Investment Trust (WHART)
Opportunity Day
10 June 2019
1 Sponsor REIT Manager
Investment Trust (WHART) Opportunity Day 10 June 2019 REIT Manager - - PowerPoint PPT Presentation
WHA Premium Growth Real Estate Investment Trust (WHART) Opportunity Day 10 June 2019 REIT Manager Sponsor 1 Disclaimers This presentation has been prepared by WHA Real Estate Management Company Limited (WHAREM) exclusively for the
Opportunity Day
10 June 2019
1 Sponsor REIT Manager
As of Nov 2017
Disclaimers
This presentation has been prepared by WHA Real Estate Management Company Limited (‘WHAREM’) exclusively for the benefit and internal use of prospective clients in order to indicate, on a preliminary basis, the feasibility of possible transactions. Terms contained in this presentation are intended for discussion purposes only and are subject to a definitive agreement. All information contained in this presentation belongs to WHAREM and may not be copied, distributed or otherwise disseminated in whole or in part without the written consent of WHAREM. This presentation has been prepared on the basis of information that is believed to be correct at the time the presentation was prepared, but that may not have been independently verified. WHAREM makes no expression or implied warranty as to the accuracy or completeness of any such information. WHAREM is not acting as an advisor or agent to any person to whom this presentation is directed. Such persons must make their own independent assessment of the content of this presentation, should not treat such content as advice relating to legal, accounting, taxation or investment matters and should consult their own advisers. Neither WHAREM nor any of its directors, employees or representatives are to have any liability (including liability to any person by reason of negligence or negligent misstatement) from any statement, opinion, information or matter (express or implied) arising out of, contained in or derived from or any omission from the presentation, except liability under statute that cannot be excluded. Please study relevant information carefully before making any investment decision. Investors are encouraged to make an investment only when such decisions correspond with their own objectives and only after they have acknowledged all risks and have been informed that the returns may be more
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As of Nov 2017
Agenda
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I. Portfolio Overview II. Q1 2019 Operation & Performance III. 2019 Outlook
As of Nov 2017
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Unitholders (2,248,454,220 units)
Others WHA Group (Approximately 15%)
Investment in the REIT Benefit Distribution & Redemption Trustee Fee Monitor the REIT Rents
REIT Manager Property Manager Trustee Lenders
REIT Manager Fee Property management fee Debt repayment and interest expense THB 9,519.6 mn THB 1,344.6 mn : 1st Capital Increase THB 1,675.0 mn : 3rd Capital Increase THB 6,500.0 mn : Bond Manager the REIT Manage operation of all assets Invest in freehold and leasehold assets
WHART’s Structure
Total leasable area of 1,128,113.16 sq.m. Total land area 1,210-0-67.55 Rai 24 Projects, with 52 Tenants
Bondholder's Representative
Protect benefits and monitors compliance
WHART
Bondholder's Representative Fee
As of Nov 2017
WHART Key Performance
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Q1 2019 Number of Properties 24 Properties Total Leasable Area 1,128,113.16 sq.m. Asset size 33,132.61 THB Million Freehold : Leasehold (30+30 Yrs) : Leasehold (<30 Yrs) 69 : 6 : 25 Built-to-suit : General Warehouse 62 : 38
Avg.Occupancy Rate before Undertake (Q1)
90.7%
Avg.Occupancy Rate after Undertake (Q1)
91.5% Total Interest-bearing Debt 9,519.6 THB Million Loan-to-Value 28.73% NAV per unit 9.9743
As of Nov 2017
Percentage
Percentage
446,590,675 19.86% 450,822,375 20.05%
337,284,043 15.00% 337,284,043 15.00%
128,503,852 5.72% 122,660,052 5.46%
96,394,222 4.29% 102,629,022 4.56%
96,235,506 4.28% 96,235,506 4.28%
70,473,029 3.13% 70,473,029 3.13%
67,837,090 3.02% 66,962,090 2.98%
64,467,854 2.87% 64,467,854 2.87%
62,472,155 2.78% 62,472,155 2.78%
46,543,904 2.07% 46,543,904 2.07% Others 831,651,890 36.99% 827,904,190 36.82% Total 2,248,454,220 100.00% 2,248,454,220 100.00% Shareholders Q4 2018** Q1 2019*
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Unit Holders
* As of 20 March 2019 ** As of 28 December 2018
2.67% of total unitholders are foreign investors which are categorized in the institution and retail sector
Institution, 48.0% Retail, 37.0% Sponsor, 15.0%
As of Nov 2017
Overview of Leasable Area
7 + 104.7% + 46.0% + 94.6% 167,107 1,128,113 174,936 157,215 387,385 156,535 84,935
200,000 300,000 400,000 500,000 600,000 700,000 800,000 900,000 1,000,000 1,100,000 1,200,000
2014 2015 2016 2017 2018
sq.m.
IPO 1st Capital Increase 2nd Capital Increase WHAPF Conversion + 3rd Asset Acquisition 3rd Capital Increase Total Leasable
+ 16.1%
As of Nov 2017
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The Assets are located in Prime Strategic Locations
As of Nov 2017
The Assets are located in Prime Strategic Locations
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As of Nov 2017
Agenda
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I. Portfolio Overview II. Q1 2019 Operation & Performance III. 2019 Outlook
As of Nov 2017
Thai 30.6% Europe 21.7% Japan 20.0% Asia* 14.4% USA 13.3%
No. Tenants Area (sqm.) (%) 1 DKSH (Thailand) Limited 187,582.63 18.25% 2 DSG International (Thailand) Pcl 80,547.40 7.83% 3 Power Buy Co., Ltd. 57,690.61 5.61% 4 Sino-Pacific Trading (Thailand) Co., Ltd. 45,569.25 4.43% 5 LF Logistics (Thailand) Limited 39,284.97 3.82% 6 Central Department Store Limited 38,826.00 3.78% 7 Kao Commercial (Thailand) Co.,Ltd. 36,522.44 3.55% 8 Thai Beverage Logistics Co., Ltd. 33,450.00 3.25% 9 Logitem (Thailand) Co., Ltd. 29,705.00 2.89% 10 Kuehne + Nagel (Thailand) Limited 28,645.00 2.79% 11 Other Tenants 450,232.08 43.79%
Well Known Tenants Profile
Top 10 Tenants by Area
Well-diversified nationality Well-diversified business
* Excluded Thai and Japan
Lease Area by Type of Building Lease Area by Properties Type 11
Third- Party Logistics, 45.1% Fast- Moving Consumer Goods, 31.3% Manufacturer, 11.6% Home Supplies, 9.9% Digital business, 1.2% E-Commerce, 0.9% Built-to-Suit 61.2% Reay-Built 38.8% Warehouse, 89.17% Factory, 10.83%
As of Nov 2017
Occupancy Rate
Occupancy Rate Before and After WHA Undertaking
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97.4% 97.4% 97.4% 94.9% 92.4% 93.8% 93.1% 94.0% 91.8% 91.9% 90.2% 93.5% 94.7% 89.8% 89.1% 89.2% 90.7% 100.0% 100.0% 100.0% 99.4% 98.7% 100.0% 100.0% 100.0% 96.5% 96.7% 94.9% 97.0% 97.4% 92.2% 90.9% 90.5% 91.5% 70% 75% 80% 85% 90% 95% 100% Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 Occupancy Rate Before WHA Undertaking Occupancy Rate After WHA Undertaking
As of Nov 2017
Lease Expiry (Cont’d)
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Remaining lease period of WHART’s assets
*The overall vacancy rate ended first quarter 2019 at 9%. 22% 25% 20% 24% 20% 23% 20% 28% 0% 5% 10% 15% 20% 25% 30% ≤ 1 Year > 1 -3 Years > 3 -5 Years > 5 Years Lease Expiry Lease Expiry (Include Option to Renew)
WALE = 4.18 WALE (Include Option to Renew) = 4.70
As of Nov 2017
52.40 17.41 117.19 289.90 349.47 96.78 51.16 29.46 280.73
100 200 300 400 500 600 700 3M/2015 3M/2016 3M/2017 3M/2018 3M/2019
3-Month Net Profit Profit before Net Gain (Loss) from Valuation Net Profit 52.40 114.19 168.36 319.36* 630.20*
Financial Overview
14 Million Baht
80.71 169.02 246.37 505.35 550.79
200 300 400 500 600 3M/2015 3M/2016 3M/2017 3M/2018 3M/2019
3-Month Revenue
Million Baht + 105.1% + 45.8% + 109.4% + 117.9% + 47.4% + 89.7%
* Net profit from valuation increased
+ 9.0% + 97.3%
As of Nov 2017
10,000 15,000 20,000 25,000 30,000 35,000
Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019
Total Assets
Financial Overview
15 Million Baht
As of Nov 2017 0.1812 0.06700.0565 0.0292 0.17330.16960.1671 0.1205 0.17050.1705 0.1482 0.1245 0.17450.17750.16250.1460 0.1860 0.1807 0.0052 0.1610 0.02170.02490.0124
0.0740 0.02400.0240 0.0115 0.07 0.02 0.017 0.01250.0455 0.00 0.05 0.10 0.15 0.20 0.25 0.30 Q1 2015 Q2 2015 Q3 2015 * Q4 2015 ** Q1 2016 Q2 2016 Q3 2016 Q4 2016 *** Q1 2017 Q2 2017 Q3 2017 Q4 2017 **** Q1 2018 Q2 2018 Q3 2018 Q4 2018 ***** Q1 2019 Dividend Decreasing paid-up capital
Distribution Payment
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* Performance from July to October 2015 ** Performance from November to December 2015, in consequence of 1st capital increase. *** Performance from 1 October to 15 November 2016, in consequence of 2nd capital increase. **** Performance from 1 October to 31 October 2017, in consequence of WHAPF conversion and 3rd asset acquisition. ***** Performance from 1 October to 15 November 2018, in consequence of 3rd capital increase. 0.2477 0.0617 0.1902 0.1950 0.1860 0.1812 0.1945 0.1795 0.1945 0.1945 0.1945 0.1597 0.1945 0.1945 0.1945
(As of Q1 2019)
0.1750
Distribution payment
Payment Date
1/2015 29-May-15 2/2015 25-Aug-15 3/2015* 18-Dec-15 4/2015** 15-Mar-16 1/2016 27-May-16 2/2016 25-Aug-16 3/2016 25-Nov-16 4/2016*** 20-Dec-16 4/2016 22-Mar-17 1/2017 23-May-17 2/2017 23-Aug-17 3/2017 22-Nov-17 4/2017**** 12-Dec-17 4/2017 23-Mar-18 1/2018 25-May-18 2/2018 23-Aug-18 3/2018 23-Nov-18 4/2018***** 18-Dec-18 4/2018 25-Mar-19 1/2019 22-May-19
0.1915
As of Nov 2017 2.7 1,675.0 11.1 14.6 23.5 37.8 1,254.8
950.0
1,200.0 500 1,000 1,500 2,000 2,500 3,000 3,500 4,000
2019 2020 2021 2022 2023 2024 2025
Maturity Ladder
Loan Bond
* 6,500 Million Bond & 3,019.6 Million Bank Loan
Financial Status & Repayment Schedule
Loan-to-Value 28.73% Total Interest-bearing debt THB 9,519.6 million * Average Remaining Maturity 3.55 years Loan Repayment of WHART
Million Baht 3,511.1 2,454.8
Stable Outlook by TRIS Rating Loan 31.7% Bond 68.3%
9,519.6 THB Mn
964.6 887.8 17
As of Nov 2017 11.93 10.48 8.04 6.01 3.77 3.55 4.44% 4.19% 3.75% 3.46% 2.90% 2.87% 0.0% 0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% 4.0% 4.5% 5.0% 2 4 6 8 10 12 14 YE 2014 YE 2015 YE 2016 YE 2017 YE 2018 Q1 2019 Average Remaining Maturity Effective Annual Interest Rate
Years
Well Diversified Debt Profile
Million Baht
Issue bonds to refinance Well Managed LTV% Issue Bond to Reduce Cost of Debt
1,370.0 2,720.0 3,970.0 7,794.4 9,466.7 9,519.6 29.7% 30.0% 28.5% 27.7% 29.0% 28.7% 0% 5% 10% 15% 20% 25% 30% 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 9,000 10,000 YE 2014 YE 2015 YE 2016 YE 2017 YE 2018 Q1 2019 Interest-bearing Debt LTV
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1st 2nd
As of Nov 2017
Agenda
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I. Portfolio Overview II. Q1 2019 Operation & Performance III. 2019 Outlook
As of Nov 2017
WHART Assets Acquisition in 2019
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Key activities through the 4th Capital increase of Asset Acquisition I. 17 June 2019: EGM meeting to approve the resolution to acquire assets from WHA Group for the value not exceeding THB 4,880 million. Assets will have leasable area
II. June – October 2019: Filing process III. October – December 2019: Marketing & Placement and Subscription process IV. December 2019: Complete the acquisition within Q4 2019
1 2 3 4
As of Nov 2017
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WHART Assets Acquisition in 2019
New assets to be acquired
Pre-Transaction Post-Transaction
(65%) (11%)
Draxlmaier
1 3 2
+(Ph.2)
Roechling
4
+(Ph.2)
5 2 5 3 4
(23%)
1
As of Nov 2017
WHART Assets Acquisition in 2019
พื้นที่บางนา-ตราด
(WHA KPN) (Unilever) (WHA Daiwa)
2 1 5 1 2 5 22
23
24
25
As of Nov 2017
26
As of Nov 2017
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As of Nov 2017
80.71 82.84 83.26 85.66 169.02 171.91 171.69 197.13 246.37 249.55 246.70 337.59 505.35 487.68 479.96 506.94 550.79 100 200 300 400 500 600 Q1 Q2 Q3 Q4
Total Revenue by Quarter
2015 2016 2017 2018 2019
Financial Overview
28
Million Baht
+ 105.1% + 45.8% + 109.4% + 45.2% + 107.5% + 43.7% + 95.4% + 106.2% + 130.1% + 71.3% + 94.6% + 9.0% + 50.2%
As of Nov 2017 52.40 (44.09)
54.95 55.60
115.98 117.41 129.00 96.78 117.19 167.22 166.90 227.20 51.16 3.00 289.90 348.57 333.74 337.47 29.46 125.53 349.47 280.73 (50) 50 150 250 350 450 550 650 750 Q1 Q2 Q3 Q4
Net Profit 2015 2016 2017 2018 2019
52.40 114.19 630.20* 54.13 115.98 170.22 54.95 117.41 116.90 55.60 129.00 168.36
Financial Overview
29 Million Baht Profit before Gain (Loss) from Valuation Net Profit of
* Net profit from valuation increased 227.20 319.36* 474.10* 333.74 337.47
As of Nov 2017
80.71 82.84 83.26 85.66 169.02 171.91 171.69 197.13 246.37 249.55 246.70 337.59 505.35 487.68 479.96 506.94 550.79 12.54 13.27 12.98 14.72 25.00 26.95 25.82 35.99 38.41 39.83 40.19 57.81 76.06 76.77 84.77 98.21 84.90 52.40 54.13 54.90 55.21 113.79 115.79 116.88 128.73 167.35 168.79 165.45 226.09 287.40 348.57 332.09 341.62 343.69 100 200 300 400 500 600 Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019
Financial Summary
Total Revenue Total Expense Profit before Net Gain (Loss) from Investment
Financial Overview
30 Million Baht