Trading at $1.03.
TA wise , looks bearish!
Likely to revisit 99 cents /$1.00 soon.
Not a call to buy or sell.
Pls dyodd.
Proposed Acquisition of 21 Properties in Germany and the Netherlands Acquisition of predominantly freehold interests in 21 logistics and industrial properties located in Germany and the Netherlands (the “New Properties”), comprising:
17 properties in Germany
4 properties in the Netherlands
Property purchased price : €596.8 million (approximately S$972.8 million)
Purchase consideration : €316.2 million (approximately S$515.4 million)
Proposed funding for the acquisition comprises:
A non-renounceable preferential offering of new units to existing unitholders on a pro rata basis; and/ or
Balance of transaction cost to be funded by borrowings
Focused on primary industries including logistics services, automotive, food logistics and industrial manufacturing.
Diversified tenant base including multinational companies with investment grade ratings and publicly listed corporations
20 high quality tenants(2) with no single tenant contributing more than 15% of GRI(1)
Transaction Rationale and Highlights
2. Prime, strategically located and predominantly freehold portfolio. Stable leases backed by high quality tenants
3. Enlarged and diversified portfolio positioned for long term growth. Reduced concentration risk in the top 10 tenants.
4. Leveraging Sponsor’s integrated development and asset management platform. FLT is well-positioned for future growth through leveraging on the Sponsor’s widened logistics and industrial platforms in Europe and Australia
5. Consistent with the Manager’s investment strategy. Proposed acquisition is in line with FLT’s key objectives.
Exposure to the attractive German and Dutch logistics markets which serve as the trade gateway to Europe
Comprises prime and predominantly freehold logistics and industrial properties
100% occupied or pre-committed by high quality tenants and long leases
89%(1) leases with CPI-linked indexation or fixed escalations
Reduces concentration risks through geographical diversification and tenant mix
Maintains optimal capital mix and prudent capital management
FLT’S OBJECTIVES Deliver stable and regular distributions to unitholders
Achieve long-term growth in DPU
Overall this new acquisition would be able to enhance and increase the DPU paying out per unit. Looks positive to me.
Not a call to buy or sell.
Please do you own due diligence.
The 2nd quarter is just released yesterday which saw the overall DPU rises 3.2% to 1.81 cents.
2QFY18 Distribution Per Unit (“DPU”) of 1.81 Singapore cents, up 3.4% from 2QFY17
Declared distributions of 3.61 Singapore cents for 1HFY18, up 3.4% from 1HFY17
Three leases renewed/signed As at 31 March 2018: WALE of 6.75 years and high occupancy of 99.4% maintained
Reduced near-term expiries in FY2018 and FY2019 by 2.5% and 4.6% respectively
Gearing of 30.5% with debt headroom of A$531 million as at 31 March 2018 85% of borrowings at fixed interest rates