Ediston Property Investm... Share Discussion Threads

[spectoacc] 27/6/2023 15:36

Spot on - they got it wrong initially, but now they can earns 5% not 0.5% on the cash, the calculation for sticking with the same strategy has changed.

Will be v interesting to see what they're working on - can only hope it's something to fob off TRY. 16% isn't 60%.

[williamcooper104] 27/6/2023 15:32

So so obvious that this is the market to buy assets not sell yourself Spend the cash over next 12 months and if the discount hasn't improved in 18-24 months then sell yourself

[spectoacc] 27/6/2023 15:15

Think it's July, and is indeed only an update not a conclusion.

I really hope it's "We finally decided to put all the cash we have at o/n rates"..

[nickrl] 27/6/2023 15:13

Are we not promised an update by end of week of what they've been doing for the last 3mths to get value for shareholders

[williamcooper104] 16/6/2023 10:31

Well at least they've not blown their opportunity to spend their cash given gilt movements likely to pressurise values But about time they got on with a simple business plan, with an open invite for anyone to bid if they feel like it Either that or do a comprehensive vendor dd package (such that you don't just get PE take private bidders) and put company up for sale

[marktime1231] 16/6/2023 10:25

Took a chance on a few more EPIC in the 61s, hoping for a positive review outcome one way or another.

[cwa1] 09/6/2023 12:18

The following amendment(s) has (have) been made to the 'Dividend Declaration' announcement released on 30 May 2023 at 15:05 under RNS No 0584B



Ex-Dividend Date:

8 June 2023

Record Date:

9 June 2023



All other details remain unchanged.

[2wild] 09/6/2023 11:32

So apparently these are going ex-div on 11th June, Sunday! How about saving some money by dismissing some Useless board members.

[cwa1] 30/5/2023 14:19

Declaration of Interim Dividend



The Company declares its interim dividend (non - property income distribution) payment in respect of the period from 1 to 31 May 2023 of 0.4167 pence per share, as timetabled below:



Ex-Dividend Date:

11 June 2023

Record Date:

12 June 2023

Pay Date:

30 June 2023



This monthly dividend of 0.4167 pence per share equates to an annualised dividend level of 5.00 pence per share and is unchanged from the previous dividend declared on 24 April 2023

[skyship] 28/5/2023 12:24

25%! --- seems somewhat unlikely as that would deliver c77.5p, a mere 4% discount to the Dec'22 NAV.

Just possible that a deal of some sort could deliver c73p, ie a 10% discount and up nearly 18% from current levels. Though unlikely IMO; which is why I sold my holding at 64p.

Added to my API and bought back into EBOX; but unfortunately didn't become re-acquainted with CTPT! On my watchlist waiting for a good re-entry price after selling at 65.1p. Win some, lose some...

Rather surprised API in particular close the week unchanged and still on a near 40% discount. That CTPT bid would in normal times have seen them at least 5% up; as clearly one of the favourites for the next one to go.

[flyer61] 27/5/2023 10:28

Well my guess, Calum is just as mystified as the rest of us.

So, has anybody thought who TRY might want to get EPIC matched up with?? Do they have any REITs in their portfolio that have refinancing requirements in the next 12 months where EPICs cash would be very useful?

Have always enjoyed buying cash at a discount....why do I think our BOD is going to bury us...

CTPT was my second biggest holding, all sold this week between 79 and 81p. EPIC is my biggest holding. I'd settle for a 25% rise from the present share price if they can engineer it.

[gonsan] 26/5/2023 08:55

I have already received a reply from Calum Bruce, the fund manager sayig that he has passed my email to the chair and board of directors.
I expressed in unequivocal terms my desire for them to continue with the strategy set up before this "strategic review"
That was a very fast reply from EPIC.

[alan pt] 25/5/2023 21:37

@alanpro1 Yes, what we really need is more people who infrequently post, sharing rude, sarcastic and information-free comments in poor English

[gonsan] 25/5/2023 18:53

fordtin, I just sent an email to the address suggested, i will let you know the outcome when/if it comes

[alanpro1] 25/5/2023 17:43

Spec do you just come on boards having read the Guardian all week moaning about everything. You seems like a really sad sod who has nothing to do other than sit around reading as much sheit you can every week and then regurgitate that same tripe on every REIT board. "The value of property assets held throughout the period has declined by 11.7%. The MSCI UK Monthly Index shows that 'All-Property' capital values fell by 17.6% for the same period".How is that classed as underperformance I have no idea, but no doubt your selective hearing will turn it into some doomsday scenario. Moaning old cnt.

[fordtin] 25/5/2023 16:20

gonson -

It seems I owe the Chairman an apology. I received a reply this afternoon which was unlikely to be generic, as I'd suggested it might be in my last post.
The timing could be a coincidence, or it could indicate the company monitor this forum.

If the latter, they’re already aware of your opinion, but probably worth sending an email encase it was just coincidence.

[fordtin] 25/5/2023 11:01

gonsan – you could try [e-mail]

I received a prompt reply saying they'd passed my email on to the Chairman.

The same day I received what appeared to be a generic response from an address with the Chairman's name in it.

I suspect the Chairman has given a number of generic responses to a secretary, who then picks the best match to each enquiry and sends it out using the address with the Chairman's name in it.

Replying to the address with the Chairman's name in it has not elicited any further response so far, despite the email saying “Please do not hesitate to get in touch again”, so might need to go through info every time if you have more than one query.

[gonsan] 25/5/2023 10:31

The most frustrating part of investing on REITs or alternatives is that one thinks has done due diligence and invests in companies whose strategies make sense and seem well executed.
And then boards or managers come and decide to change the strategy without any proper reason to do so.
And botch execution which at the end is what really matters, flawless strategy execution.
And here we are, waiting to see if someone comes with an idea of what to do with a REIT that had very clear what to do. (And some of us bought it on that clear idea and execution path).
Do you know what is the best way to reach the board to express my position? Politely, of course...

[cc2014] 25/5/2023 08:21

Presumably when they started this review a very exploratory paper based merger with LMP might have been discussed. Or if not discussed a very outline discussion had. Or something simliar. Perhaps.

But what's doing my head in is that all these REITs, infra funds and renewable funds seem to feel they have the right to grow larger. Just because. OK, I get it if you are a star fund manager and have amazing returns that the inflows will just occur but if you aren't as many of them aren't then why think you have the right to grow at all?

I'm not even sure combining with another trust will really cut costs. Headline costs maybe but when you are smaller it's also possible to be more nimble. If £280m of NAV isn't big enough I find that a bit surprising.


BTW from where I'm sitting EPIC is decent enough but then I discover they are sitting on in excess of £30m of cash and "are now working" on putting it in a money market fund to earn more interest. This is basic stuff and surely shareholders should expect better.

[spectoacc] 25/5/2023 07:17

Am sure it's been mentioned, but NAV fell from 94.9p end-Sept (which was post-Kwasi Budget) to 80.4p 31st March, that's some fall for a co with a large wedge of it in cash, when RP's are meant to be one of the brighter spots.


"...It has been a long-held ambition of the Board to grow the equity base of the Company. Whilst the Board appreciates that not all shareholders see this as a priority, the simple facts are that an increased shareholder base would reduce operational costs per share, improve the liquidity of the shares and bring the Company in reach of large investors to provide further capital in the future. "


The "simple facts" are that investment is on hold, the review is costing time & money, & that almost all shareholders aren't interested in EPIC issuing more shares. Has it not occurred to them that they've been unable to spend the cash they've got?


"The Board has concluded that the time is right to challenge whether there are better alternatives to the status quo that has been effectively imposed on the Company by market circumstances. Having consulted with some of its larger shareholders, it announced on 16 March 2023 that it would undertake a strategic review.."

I really think that's "consulted with one larger shareholder", TRY, who find themselves trapped having bought so many.


"..The Board has a preference for structuring a merger with one or more REITs, but it will consider all options available to the Company that offer maximum value for shareholders. Since commencing the Strategic Review, the Board and its advisers are engaged with a number of interested parties and the Board expects to provide an update to shareholders early in the third calendar quarter of 2023."

Update, not outcome, in July. Why/how can it be taking so long? Who are they looking to merge with, and will that improve or expand the discount? EPIC trade on one of the smaller discounts already.


All ground covered previously, but trying to convince myself to buy by looking at the downsides.


Finally:

"Finally, I mentioned in the Strategic Review announcement that attracting investor capital into the sector was critical for a successful and thriving UK real estate market in the long term. Capital is needed to decarbonise the sector through building refurbishment and the introduction of new environmentally friendly building technologies; it is needed for regeneration and levelling up; it is required for unlocking the chronic shortage of housing; and, finally, it is essential for the economy that the built environment meets future occupier needs. The REIT sector is the ideal home for attracting a wide range of different types of investor capital. However, it is not doing so at the moment."


There's a reason REITs aren't an ideal home for attracting investor capital - it's because they generally burn it. And if new money needs to be raised for building refurbishment (2030 the harshest rules), whither all REITs?

[alan pt] 24/5/2023 18:40

@nickrl Indeed (and thanks for posting those answers, they were very illuminating)

Must be hugely frustrating to have set out a clear strategy and then have the execution halted for an extended period of navel gazing

It's funny how consultants that you hire (and pay by the day) for "strategic reviews" somehow never come to a rapid conclusion...

[nickrl] 24/5/2023 16:53

@Alan PT i suspect Calum Bruce is very frustrated with the situation his email i posted above cites they were in pursuit of opportunities which others have no doubt acquired like BLND. The board aren't pushing back against whoever has promoted this (Hill looks well connected to property world)stupidity to them and given the sell out of other reits recently i really wouldn't be surprised see this lot giving it away.

[flyer61] 24/5/2023 13:07

Well said Alan PT.

Calum for President!

[alan pt] 24/5/2023 13:01

Sub-par merger is the risk, agreed

Strategy and execution seem pretty good at EPIC, we just need the board (as a proxy for institutional holders seeking a quick profit) to stop interfering and let them get on with it

EPIC discount has been under 10% at points, so I can't understand why the board would give up on the idea of having a successful REIT and growing through new issues. OK, it's not going to happen within a few months, but it's not an unrealistic prospect

If the board is so negative on the future of the REIT, let's change the board, not the REIT...