Tritax Eurobox Share Discussion Threads

[makinbuks] 15/6/2021 09:14

bit surprised they couldn't do better than 8.8% on a construction loan, but small beer I guess. Long construction period too

[cwa1] 15/6/2021 09:09

Big facility extension announced:-



The Company is financing the construction of the extension at an attractive yield on cost of 8.8%, for an estimated capital commitment of €31.5 million.

[makinbuks] 08/6/2021 17:33

Surprisingly good question Michael! From the 2020 report NAV €503.91, Operating and Administrative costs €10.7m (2.12%), managers fee therein €6.0m (1.19%). I also note the KID confusingly states the costs as 4.06% but doesn't say of what and a breakdown of the number only adds up to 3.73%. Is it possible HL are reading from the Annual Report and adjusting for an increase in NAV this year, while ii are using the KID? Is it also possible the KID has not been updated since launch so does not account for the fund raise?

Bear in mind all costs of debt raising or property transaction costs are on the balance sheet so this structure is VERY expensive.

You've got to question an audit fee of €400k for a company with 12 properties. I could audit that in an afternoon. Then there's €490k on marketing, does that benefit shareholders? And finally two absolutely eye watering numbers €970k on "corporate expenses" and €2.29m on legal and professional fees

This is a very straightforward company. The only complication I guess is the number of separate jurisdictions it operates in. Plenty to go at if theres a merger with ABRDN

[cordwainer] 08/6/2021 13:51

I guess costs can change quite a lot month-by-month according to activity levels with a relatively dynamic specialist REIT like this. I wouldn't know how to reconcile ii vs HL tho, i suppose factors could include timing, estimated vs reported NAV, NAV vs EPRA NAV, etc. (and with or without exceptionals ?..)

[michael burry] 07/6/2021 21:12

Could someone please confirm the OCF for Eurobox. ii quote a somewhat eye watering OCF of 4.23% and Hargreaves Lansdown quote 2.04% which still seems pretty steep to me? Interested in any views on here.

[cwa1] 07/6/2021 13:28

Is it too much to hope we've turned the corner here?

[makinbuks] 27/5/2021 10:24

Yes €500m at less than 1% shows that they are in the right space and doing it the right way(green). This EU Taxonomy is going to make banks want to do these types of deal so they will be very competitively priced. Will we all still be here in 2026 for the re-issue? I doubt that will be as cheap, but hey lets enjoy this while it lasts and give credit to the management team

[cwa1] 27/5/2021 08:04

Not much :-)

In other news, goes XD today for 1.25p, payable 18/6/21

[williamcooper104] 27/5/2021 07:49

What's not to like about that

[cwa1] 27/5/2021 07:26

27 May 2021



€500 MILLION DEBUT GREEN BOND ISSUANCE

SUPPORTING SUSTAINABILITY STRATEGY AND VISION

Tritax EuroBox plc (ticker: EBOX; BOXE) (the Company), which invests in a high-quality portfolio of very large, prime logistics real estate assets strategically located across Continental Europe, today announces the pricing of €500 million of senior unsecured green bonds maturing on 2 June 2026 (the 2026 Notes). The 2026 Notes were significantly oversubscribed, having generated substantial institutional demand following a series of fixed income investor meetings.



Further strengthening the balance sheet

The 2026 Notes will have a tenor of five years and an annual coupon of 0.95%. The issue will significantly reduce the Company's cost of debt and represents the first step in the Company diversifying its funding sources into the debt capital markets.

[makinbuks] 25/5/2021 15:31

Nice write up. Like the green finance emphasis including reduced borrowing costs. Very pleased with this and WHR, my other holding in the sector. Looking forward to both getting their dividend fully covered

[speedsgh] 25/5/2021 15:13

Latest QuotedData research update...

Tritax EuroBox: Full throttle -

[cwa1] 24/5/2021 14:05

Decent volume. Picked off today's lows. Is it too much to hope it has turned a corner?

[speedsgh] 20/5/2021 08:48

Tritax Eurobox gets ‘creative’ as logistics markets heats up -

[williamcooper104] 19/5/2021 22:10

I'll take meh on a big market down day

[cwa1] 19/5/2021 17:15

Almost 1.5M traded today. Volume decent, share price meh

[pyufak] 18/5/2021 18:30

Yawn it be

[cwa1] 18/5/2021 17:08

If nothing else there was some decent volume today

[cwa1] 18/5/2021 08:35

Well...



Dividend: UP
NAV: UP
EPS: UP
100% rent collection

Outlook

The outlook for the Company is positive. In the second half of the year, deploying the proceeds of the equity raise and associated debt will drive our revenue and earnings, while we expect to make further progress with asset management. We expect ongoing yield compression and rental growth to support total returns over the next six months.

Looking further ahead, we see a multi-year opportunity for the Company. The drivers of our market are stronger than ever and the Manager continues to identify attractive opportunities to add to our pipeline, sourced through its established relationships and the pipelines of our specialist asset managers. We therefore look forward to the future with confidence.

Market reaction? Hang on a mo whilst I stifle this yawn ;-)

[petewy] 18/5/2021 08:27

Healthy results. Divi up and:
Received a Fitch BBB- investment grade credit rating in March 2021, immediately reducing our cost of debt and opening up new sources of debt financing.
SRE had the same rating

[makinbuks] 13/5/2021 10:37

I agree these are good value at these levels but I have enough

[cwa1] 12/5/2021 12:03

Couldn't resist a small top up at 110, results on Tuesday

[cwa1] 12/5/2021 09:34

There seems to be an AT trader nibbling away at the bid constantly, wonder how much they have to go?

[williamcooper104] 11/5/2021 10:59

Liquidity, spreads and greater institutional investor interest All of which will drive share price to a premium over NAV which gives a comparative cost of capital advantage of the REIT public market equity over private markets, which leads to a virtuous circle of equity raises and accretive investments leading to greater size/premiums and accretive acquisitions That's the real advantage, as you say the direct cost synergies are likely to be small (and will be more for the benefit of the external manager), debt might be a bit cheaper too

[makinbuks] 11/5/2021 10:25

Why would being a bigger fund get them a better price? I think any potential seller or developer would sell to the highest bidder regardless of their size.

I think the benefit would be cost reduction with one trust deed, one set of lawyers, one quote, one set of advisors etc. The value of that would be compared to the one off cost of a merger which would be considerable.

There may also be a benefit in deals with banks arising from the greater size and reduced finance costs