Should really fall back down to NTA (if not lower)... bit puzzling why it is at a huge premium during these times.
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Should really fall back down to NTA (if not lower)... bit puzzling why it is at a huge premium during these times.
They typically own 10% of new offerings, latest one delayed of course...
https://www.nzx.com/announcements/352659
Ouch!
30c per share write down and a 1:1.9 rights issue at 50c.
The presentation was an interesting read. Interesting that Centuria could end up with 24.9% - does NZ have a creeper provision in its Takeovers Code so they can slowly move to a controlling/majority position?
Small nit picking point: I think it says it's being done at $0.55?
Normally the limit for a shareholding is 19.99% before a takeover is required. There has been a relaxation to 24.99% due to temporary COVID relief. You cannot creep beyond that.
Probably not the best way to value this puppy, material and growing revenue chunk now from syndicate mgmt fees. Anyone who's been thru a brochure will be aware of the risk of rent reverting to "market rates" somewhere in the ensuing 5 yrs (probably down for near future) yet mgmt fees ALWAYS increase by set % (standard practice as far as i know). So mum and dad investors supporting the dividend.
You are right - thanks for correction.
Interest to note for those who have invested for dividends and yield :
1. AUG has paid out 16.375c in dividends (dps) since NPT became Augusta.
2. AUG is now requiring holders with the 1:1.9 rights issue to front up with 28.95 cps to plug the $27m hole and pay down debt!
Net net - holders are down 12.575 cps in 3 years!
When you read the recent announcements regarding cancelled deals, one would have to think , have they been reckless with the purchasing or intended purchases over the last year or there abouts?