Growing interest in regional property assets helped Conygar (CIC) to deliver a 3.7 per cent rise in adjusted net asset value (NAV) to 203p at its September year-end. The value of its investment portfolio was lower, but only because of disposals made during the year. Nine properties were sold, raising £31.3m for a surplus of £2.8m, or nearly 10 per cent over book value.
Contracted annual rent roll fell £2.4m to £9.8m as a result of the disposals, but a number of new leases and renewals were secured, extending the unexpired average lease length from 4.4 years to 4.8 years, and pushing the vacancy rate down from 18.2 per cent to 14.1 per cent.
Conygar continued to extend its development arm, buying back a 60,000 sq ft site in Haverfordwest from Sainsbury's (SBRY) after the supermarket decided not to build on the site. The site was reacquired for £3m, plus an uplift clause, compared with the original sale price of £13.75m. A second 10 acre development site with planning consent was also bought back from Sainsbury's for £2.25m after the year-end. These two acquisitions and the £46.6m already committed mean that capital deployed on the development arm is now equivalent to around one third of NAV.
Analysts at Liberum are forecasting adjusted NAV of 218p by September 2016.
| CONYGAR (CIC) | ||||
|---|---|---|---|---|
| ORD PRICE: | 173.5p | MARKET VALUE: | £150m | |
| TOUCH: | 173-174p | 12-MONTH HIGH: | 195p | LOW: 165p |
| DIVIDEND YIELD: | 1.0% | TRADING PROPERTIES: | £33.4m | |
| DISCOUNT TO NAV: | 15% | |||
| INVESTMENT PROP: | £140m* | NET DEBT: | 8% | |
| Year to 30 Sep | Net asset value (p) | Pre-tax profit (£m) | Earnings per share (p) | Dividend per share (p) |
|---|---|---|---|---|
| 2011 | 155 | 1.8 | 1.0 | 1.1 |
| 2012 | 166 | 7.5 | 5.6 | 1.25 |
| 2013 | 175 | 7.7 | 6.9 | 1.50 |
| 2014 | 198 | 20.5 | 23.5 | 1.75 |
| 2015 | 203 | 7.8 | 7.7 | 1.75 |
| % change | +3 | -62 | -67 | - |
Ex-div: 7 Jan Payment: 11 Feb *Includes investments in joint ventures | ||||
