Executive Summary
The goal of the Conygar Investment Company is to invest in property assets and companies with property assets where it can add significant value using its property management, development and transaction structuring skills. As of January 2010, the company had £110m of cash and facilities in place for further acquisitions and deals in the property sector. Since float, the company has made several acquisitions including the previously publicly listed Advantage Property Income Trust (TAP) and the Lamont Portfolio. The company also has significant development assets in waterfront ventures in Wales. The September 2010 annual report showed a net asset value per share of 155p.
Company History
- Conygar was formed on 22 September 2003 and admitted to AIM on 23 October 2003.
- The Company acquired TAP in September 2009 following a hostile reverse takeover.
- In November 2009, Conygar announced the acquisition of the Lamont Portfolio for £44.8 million
Current Events
- The Board of Conygar initiated a share buyback programme in December 2010, intending to acquire up to 2 million ordinary shares as and when they become available.
- In November 2010, the Company purchased 86 acres of land at Haverfordwest, Pembrokeshire, close to the town centre for £14 million.
Business Model
Conygar is an AIM quoted property investment and development group dealing primarily in UK property.
Investment Portfolio
At 30 September 2010, the Group’s 45 investment properties were independently valued at £151.1 million, comprising £102.7m for the TAP Portfolio and £48.4m for the Lamont Portfolio. The contracted rent for the investment property portfolio was £13.3 million, with an ERV of £14.7 million.
- Lamont Portfolio - This is a portfolio of seven freehold and long leasehold buildings acquired for a total cash consideration of £44.8 million (the “Lamont portfolio”).These business park, office and industrial assets have an annual rent roll of £4.41 million, representing a net initial yield on acquisition of 9.8%. The portfolio has been valued at £48.4 million at 30 September 2010, representing a net initial yield of 8.62% with an unexpired leaselength of approximately 6.25 years.
- The Advantage Property Income Trust ("TAP") - TAP was formerly the mixed commercial property unit of Valad Property Group. Since the acquisition of TAP in September 2009, the Company has disposed of assets for a total of £59.3 million, realising a total profit of £5.9 million.The remaining TAP portfolio is valued at £102.7 million with an annual…
