Industrial Multi Property Trust (IMPT) has announced its annual results for the year ended 31 December 2016. During the period, the company’s NAV per ordinary share increased by 17.9% to 298.5p (2015: 253.2p), whilst its adjusted NAV per share increased by 18.0% to 307.4p (2015: 260.6p). The company says that the increase in the NAV is mainly due to the increase in the property portfolio valuation. Earnings per share increased by 5.8% to 45.3p (2015: 42.8p), whilst adjusted EPS improved from a loss of 18.1p in 2015 to a loss of 11.3p in 2016. Occupancy also saw an improvement from 89.3% as at 31 December 2015 to 91.8% as at 31 December 2016. The group’s portfolio valuation also increased by 4.5% from £81.6 million, as at 31 December 2015, to £85.3 million as at 31 December 2016. This was reportedly 5.6% on a like for like basis. The Company did not pay a dividend during 2016 and no dividend is currently proposed.
In terms of portfolio activity, the company says that four light industrial units were sold for a total of £51.3m, which was 51% above the most recent valuation. The company also completed – 53 new lettings and 28 lease renewals, which it says represents 17.4% of the estimated rental value of the total portfolio. The company also says that £0.16m per annum of additional passing rent is contracted to start during 2017. It says that this will directly benefit cash flow.
As announced on 14 November 2016, Alpha Real Trust Limited (ARTL) who hold 18.7% of the IMPT’s share capital requisitioned an extraordinary general meeting at which proposals were made to remove two of IMPT’s Independent Directors. At the Requisitioned EGM, those shareholders independent of ART (and independent of Antler Investment Holdings Limited, a related party to Alpha Real Capital LLP) voted overwhelmingly to support the continued appointment of the two Independent Directors in a ratio of over 6 to 1. At the Requisitioned EGM, the Independent Directors also included a resolution to amend the investment objectives of the Company to allow for the sale of the portfolio provided certain conditions were met. This resolution was passed. ART subsequently requisitioned a second extraordinary general meeting which was held on 27 January 2017 at which a resolution, requiring the Directors to obtain shareholder approval to dispose of more than 50% of the assets, was passed. The company says that, as a result of the publicity arising from the Requisitioned EGM’s, the Company received a number of unsolicited proposals regarding ways to improve shareholder value and on 17 February 2017, announced a cash offer from Hansteen Holdings Plc to acquire all the share capital of the Company for 300 pence per share. The Independent Directors have evaluated this offer and believe it gives shareholders a good opportunity to realise their shares for cash at a significant premium to the recent share price.
IMPT posts adjusted NAV growth of 18.0%, followed by 300p offer from Hansteen : IMPT, HSTN, ARTL