WHA Premium Growth Real Estate Investment Trust (WHART) Opportunity - - PowerPoint PPT Presentation

wha premium growth real estate investment trust whart
SMART_READER_LITE
LIVE PREVIEW

WHA Premium Growth Real Estate Investment Trust (WHART) Opportunity - - PowerPoint PPT Presentation

WHA Premium Growth Real Estate Investment Trust (WHART) Opportunity Day 8 August 2018 REIT Manager Sponsor 1 Disclaimers This presentation has been prepared by WHA Real Estate Management Company Limited (WHAREM) exclusively for the


slide-1
SLIDE 1

WHA Premium Growth Real Estate Investment Trust (WHART)

Opportunity Day

8 August 2018

1 Sponsor REIT Manager

slide-2
SLIDE 2

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

  • r less than the initial sum.

2

slide-3
SLIDE 3

As of Nov 2017

Agenda

3

I. Portfolio Overview II. Q2 2018 Operation & Performance III. 2018 Outlook

slide-4
SLIDE 4

As of Nov 2017

4

Unitholders (1,963,977,172 units)

WHART 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 7,794.4 mn THB 1,347.3 mn : 1st Capital Increase THB 2,247.1 mn : WHAPF Conversion + 3rd Asset Acquisition THB 4,200 mn : Bond Manager the REIT Manage operation of all assets Invest in freehold and leasehold assets

WHART’s Structure

Total leasable area of 971,578.55 sq.m. Total land area 1,037-0-73.55 Rai 20 Projects, with 48 Tenants

slide-5
SLIDE 5

As of Nov 2017

WHART Key Performance

5

Q2 2018 Number of Properties 20 Properties Total Leasable Area 971,578.55 sq.m. Asset Size 28,191.90 THB Million Freehold : Leasehold 70 : 30 Built-to-suit : General Warehouse 60 : 40 Occupancy Rate before Undertake 89.8% Occupancy Rate after Undertake 92.2% Total Interest-bearing Debt 7,794.4 THB Million Loan-to-Value 27.65% NAV per Unit 9.8363

slide-6
SLIDE 6

As of Nov 2017

6

Unit Holders

* As of 14 June 2018 ** As of 2 April 2018

Shareholders Q2 2018* Q1 2018**

  • No. of Share Percentage No. of Share

Percentage

  • 1. Social Security Office

387,428,422 19.73% 383,238,922 19.51%

  • 2. WHA Corporation

294,597,043 15.00% 294,597,043 15.00%

  • 3. Government Pension Fund

122,660,052 6.25% 122,660,052 6.25%

  • 4. Muang Thai Life Assurance

111,813,863 5.69% 111,813,863 5.69%

  • 5. Krung Thai-Axa Life Insurance

92,488,083 4.71% 92,488,083 4.71%

  • 6. Government Savings Bank

61,553,873 3.13% 61,553,873 3.13%

  • 8. Southeast Life Insurance

56,308,721 2.87% 56,308,721 2.87%

  • 7. Bangkok Life Assurance

54,565,600 2.78% 54,565,600 2.78%

  • 9. Thai Life Insurance

46,543,904 2.37% 46,543,904 2.37%

  • 10. Allianz Ayudhya Life Insurance

42,585,075 2.17% 42,585,075 2.17% Others 693,432,536 35.31% 697,622,036 35.52% Total 1,963,977,172 100.00% 1,963,977,172 100.00%

Institution, 65.5% Retail, 19.5% Sponsor, 15.0%

1.49% of total unitholders are foreign investors which are categorized in the institution and retail sector

slide-7
SLIDE 7

As of Nov 2017

Overview of Leasable Area

167,107 971,579 174,936 157,215 387,385 84,935

  • 100,000

200,000 300,000 400,000 500,000 600,000 700,000 800,000 900,000 1,000,000 1,100,000 2014 2015 2016 2017 sq.m. IPO 1st Capital Increase 2nd Capital Increase WHAPF Conversion + 3rd Asset Acquisition

7

Total Leasable Area

+ 104.7% + 46.0% + 94.6%

slide-8
SLIDE 8

As of Nov 2017

The Assets are located in Prime Strategic Locations

8

slide-9
SLIDE 9

As of Nov 2017

The Assets are located in Prime Strategic Locations

9

slide-10
SLIDE 10

As of Nov 2017

Well Known Tenants Profile

Top 10 Tenants by Area

Well-diversified nationality Well-diversified business

  • peration

* Excluded Thai and Japan

Lease Area by Type of Building Lease Area by Properties Type 10

Thai, 26.3% Europ e, 25.5% Japan, 22.0% Asia*, 16.5% USA, 9.7%

Third- Party Logistics, 48.2% Fast-Moving Consumer Goods, 34.9% Manufacturer, 13.6% E-Commerce, 1.9% Data Center, 1.4%

Built-to- Suit, 60.1% Ready- Built, 39.9% Warehouse , 89.1% Factory, 10.9%

No. Tenants Area (sqm.) (%)

1 DKSH (Thailand) Limited 187,582.63 21.56% 2 DSG International (Thailand) Pcl 60,749.40 6.98% 3 LF Logistics (Thailand) Limited 47,788.97 5.49% 4 Sino-Pacific Trading (Thailand) Co., Ltd. 45,569.25 5.24% 5 Kao Commercial (Thailand) Co.,Ltd. 36,522.44 4.20% 6 Thai Beverage Logistics Co., Ltd. 33,450.00 3.84% 7 Central Department Store Limited 28,946.00 3.33% 8 Logitem (Thailand) Co., Ltd. 28,443.00 3.27% 9 Hitachi Transport System Vantec (Thailand) Ltd. 22,214.92 2.55% 10 Osotspa Co., Ltd. 21,820.00 2.51% 11 Other Tenants 357,078.25 41.04%

slide-11
SLIDE 11

As of Nov 2017

Agenda

11

I. Portfolio Overview II. Q2 2018 Operation & Performance III. 2018 Outlook

slide-12
SLIDE 12

As of Nov 2017

Occupancy Rate

Occupancy Rate Before and After WHA Undertaking

12

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% 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% 70% 75% 80% 85% 90% 95% 100% Occupancy Rate Before WHA Undertaking Occupancy Rate After WHA Undertaking

slide-13
SLIDE 13

As of Nov 2017

Lease Expiry (Cont’d)

13

Remaining lease period of WHART’s assets

23% 36% 24% 17% 20% 37% 22% 22% 0% 5% 10% 15% 20% 25% 30% 35% 40% < 1 Year 1 - 3 Years 3 - 5 Years > 5 Years Lease Expiry Lease Expiry (Include Option to Renew)

WALE = 2.83 WALE (Include Option to Renew) = 3.46

slide-14
SLIDE 14

As of Nov 2017

Financial Overview

14 Million Baht Million Baht

* Net profit from valuation increased

163.55 340.93 495.92 993.03

  • 200

400 600 800 1,000 1,200 6M/2015 6M/2016 6M/2017 6M/2018

6-Month Revenue

+ 100.2% + 45.5% + 108.5% + 116.1% + 47.1% + 134.4%

8.31 133.39 284.41 638.47 98.22 96.78 54.16 154.99 100 200 300 400 500 600 700 800 900 6M/2015 6M/2016 6M/2017 6M/2018

6-Month Net Profit

Net Profit Gain (Loss) from Valuation 106.52 230.17 338.56

slide-15
SLIDE 15

As of Nov 2017

Financial Overview

15 Million Baht

  • 5,000

10,000 15,000 20,000 25,000 30,000 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

Total Assets

slide-16
SLIDE 16

As of Nov 2017

Distribution Payment

16

* 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.

0.1812 0.06700.0565 0.0292 0.17330.16960.1671 0.1205 0.17050.1705 0.1482 0.1245 0.1745 0.1860 0.1807 0.0052 0.1610 0.02170.02490.0124 0.0740 0.02400.0240 0.0115 0.07 0.02 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 Dividend Decreasing paid-up capital

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

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

slide-17
SLIDE 17

As of Nov 2017

Agenda

17

I. Portfolio Overview II. Q2 2018 Operation & Performance III. 2018 Outlook

slide-18
SLIDE 18

As of Nov 2017

In Q1 2018, WHART issue bonds

18

2.7 2.7 11.1 2,261.7 23.5 37.8 1,254.8 3,000.0 1,200.0 500 1,000 1,500 2,000 2,500 3,000 3,500 2018 2019 2020 2021 2022 2023 2024 2025

Maturity Ladder

Loan Bond 3,011.1 2,261.7 2,454.8 Million Baht

Loan, 46.1% Bond, 53.9%

7,794.4 THB Mn

2.96%

Effective Annual Interest Rate

A

Stable Outlook

by TRIS Rating

slide-19
SLIDE 19

As of Nov 2017

Debt Profile

19 1,370.0 2,720.0 3,970.0 7,794.4 7,794.4 29.7% 30.0% 28.5% 27.7% 27.7% 0% 5% 10% 15% 20% 25% 30% 35% 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 Q2 2018 Interest-bearing Debt LTV 11.93 10.48 8.04 6.01 4.67 4.44% 4.19% 3.75% 3.46% 2.96% 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 Q2 2018 Average Remaining Maturity Effective Annual Interest Rate

Million Baht Million Baht

Issue bonds to refinance Well Managed LTV% Issue Bond to Reduce Cost of Debt

slide-20
SLIDE 20

As of Nov 2017

WHART Assets Acquisition in 2018

20

Key activities through the 4th Capital increase of Asset Acquisition

1 4 3 2

December 2018:

Complete the acquisition within Q4 2018

14 June 2018:

EGM meeting to approve the resolution to acquire assets from WHA Group for the value not exceeding THB 4,464.50 million. Assets will have leasable area

  • f apporx. 160,000 sqm on leaseable area.

June – October 2018:

Filing process

October – November 2018:

Marketing & Placement and Subscription process

slide-21
SLIDE 21

As of Nov 2017

21

WHART Assets Acquisition in 2018

slide-22
SLIDE 22

As of Nov 2017

22

Q&A