Write-offs, a lower valuation, and a paper loss on shares sold in Regional Reit left Conygar (CIC) nursing a pre-tax loss for the six months to March 2018. Two development projects were written down, the most significant being the Fishguard waterfront project. Plans for a mixed-use marina were ditched after Stena Line Ports revealed that this would interfere with their harbour and ferry operations.
That cost £2.4m, and a further £0.8m was written off the Llandudno Junction project when plans for a 90,000 sq ft retail park were put on hold. Consequently, net asset value fell 2 per cent. On a brighter note, the sale of the M&S food hall at Ashby-de-la-Zouch realised a profit of £0.5m, while there are plans to develop the remaining two acres into a retail store and garden centre.
Detailed planning permission was also secured on an 80-bedroom Premier Inn Hotel on the outskirts of Holyhead, with construction expected to complete early in 2019. Conygar has also taken full control of the Holyhead Waterfront development from its partner Stena Line Ports. Stena will also repay a £2.5m loan to Conygar which is its share of a loan Conygar made to the joint-venture company.
| CONYGAR (CIC) | ||||
| ORD PRICE: | 164.5p | MARKET VALUE: | £106m | |
| TOUCH: | 162-167p | 12-MONTH HIGH: | 179p | LOW: 146p |
| DIVIDEND YIELD: | nil | DEVELOPMENT PROPERTIES: | £33.1m | |
| DISCOUNT TO NAV: | 17% | NET CASH: | £35.7m | |
| INVESTMENT PROPERTIES: | £6.7m* | |||
| Half-year to 31 Mar | Net asset value (p) | Pre-tax profit (£m) | Earnings per share (p) | Dividend per share (p) |
| 2017 | 203 | 0.6 | 0.7 | nil |
| 2018 | 198 | -4.3 | -6.3 | nil |
| % change | -2 | - | - | - |
| Ex-div: | - | |||
| Payment: | - | |||
| *Investment in joint ventures | ||||
