CLW Declared Quarterly Distribution Of 6.5 Cents Per Security

On 3 December 2018, Charter Hall Long WALE REIT (ASX: CLW) announced a distribution of 6.5 cents per security (cps) for the December quarter with ex-date of 28 December 2018, the record date of 31 December 2018 and payment date of 14 February 2019. Further, the company also announced that the Distribution Reinvestment Plan has been reactivated for the 31 December 2018 distribution. Following the release of this news, the share price of the company increased by 1.671 percent as on 4 December 2018.

In addition, the Company also announced that it has undertaken independent revaluations across 79 of the REIT’s 85 properties, signifying 78 percent of the portfolio’s value as at December 2018. These revaluations display a $30.6 million net uplift, representing 1.9 percent uplift overvaluations at 30 June 2018. The remaining six properties of REIT were purchased within the time period of past six months supported by independent valuations and had not been revalued on 31 December 2018.

Recently, the company also confirmed the completion of the Security Purchase Plan (SPP) which was announced earlier on 17 October 2018 in connection with CLW’s $60 million Institutional Placement. The company raised around $11.12 million under Security Purchase Plan with 2,748,168 new securities which were issued to eligible security holders at an issue price of $4.04 per security. In the month of October, the company announced that it has entered into an agreement to fully acquire the interest in an industrial asset and a 50 percent interest in an A-grade office asset for a total consideration of $117.8 million.

During the financial year 2018, the company’s total portfolio value grew by $128 million to $1.53 billion via acquisitions and an increase in property valuations. This increase in total portfolio resulted in annual net tangible asset growth of 2.9 percent to $4.05 per security. At year-end of FY 2018, CLW’s balance sheet gearing was at 30.6 percent which was within its target range of 25% to 35%. In FY 2018, the company reported a statutory profit of $83.3 million and operating earnings of $58.4 million.

During the period, the company has completed several capital management initiatives which include expansion of the Company’ balance sheet debt facility limit by $20 million to $470 million and extending the maturity date to February 2022. Further, the company also completed a $94.1 Mn non-renounceable entitlement offer to fund the Virgin Australia Head Office acquisition.

 For FY 2019, the company is targeting its EPS to be in between 26.4 cps and 26.6 cents per security, subject to the reinvestment of proceeds from the sale of 50% of the ATO Adelaide office building. Further, the company is targeting the distribution payout ratio of FY 2019 to be at 100 percent of Operating Earnings.

Meanwhile, the share price of the company decreased by 1.87 percent in the past six months as on 3 December 2018 and traded at a PE ratio of 11.12x. CLW’s shares traded at $4.260 with a market capitalization of circa $1.05 billion as on 4 December 2018 (AEST 2:06 PM).


This website is a service of Kalkine Media Pty. Ltd. A.C.N. 629 651 672. The website has been prepared for informational purposes only and is not intended to be used as a complete source of information on any particular company. Kalkine Media does not in any way endorse or recommend individuals, products or services that may be discussed on this site. Our publications are NOT a solicitation or recommendation to buy, sell or hold. We are neither licensed nor qualified to provide investment advice.

The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations and video (Content) is a service of Kalkine Media Pty Ltd (Kalkine Media, we or us), ACN 629 651 672 and is available for personal and non-commercial use only. The principal purpose of the Content is to educate and inform. The Content does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the Content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stocks of the company(s) or engage in any investment activity under discussion. Kalkine Media is neither licensed nor qualified to provide investment advice through this platform. Users should make their own enquiries about any investments and Kalkine Media strongly suggests the users to seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary. Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media. Some of the images/music that may be used on this website are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures displayed/music used on this website unless stated otherwise. The images/music that may be used on this website are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source wherever it was indicated as or found to be necessary.
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK