Good morning, it's Paul here with the SCVR for Friday.

Today I'll be looking at;

Newriver Reit (LON:NRR) - trading update

Quiz (LON:QUIZ) - extension to bank facilities (I hold)

Easyjet (LON:EZJ) - sale & leaseback

Ten Entertainment (LON:TEG) & Hollywood Bowl (LON:BOWL) re-opening tomorrow. (I hold both)

Plus a few other bits & pieces that are outstanding on my notepad.

Today's report is now finished.


Newriver Reit (LON:NRR)

Share price: 63p (up c.3% today, at 09:30)
No. shares: 306.1m
Market cap: £192.8m

Trading Update

About NewRiver: NewRiver REIT plc ('NewRiver') is a leading Real Estate Investment Trust specialising in buying, managing and developing essential retail and leisure assets throughout the UK.

Our £1.2 billion portfolio covers 9 million sq ft and comprises 33 community shopping centres, 25 conveniently located retail parks and over 700 community pubs.

We hand-picked our assets to deliberately focus on occupiers providing essential goods and services, and avoid structurally challenged sub-sectors such as department stores, mid-market fashion and casual dining. This focus, combined with our affordable rents and desirable locations, delivers sustainable and growing returns for our shareholders, while our active approach to asset management and inbuilt 2.5 million sq ft development pipeline provide further opportunities to extract value from our portfolio.

I don't cover many property companies here, but we've followed this particular one since it floated in 2016. I remember seeing them at a FinnCap meeting, and liking the value-focused retailers strategy & active management of properties to enhance yields.

The current share price is at a big discount to last reported (March 2020) EPRA NAV of 201p per share (down 12.3% on LY). The big questions are;

  • How much further will NAV decline in future?
  • Will that trigger debt covenant issues in 2021 or beyond?

Because I don't have any clear idea on these key issues, I previously sold my holding, and am sitting on the sidelines, until the picture becomes clearer, as mentioned here on 9 July.

Today's update - this comes across positively. Key points, with my comments;

The Company's trading performance in the first quarter ended 30 June 2020 was in-line with our revised expectations as outlined in our Full Year Results on 18 June 2020.

Rent collections - looks encouraging.…

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