Home Consortium lists, Investec busy acquiring and selling

Home Consortium (ASX: HMC) listed on the ASX on 14 October 2019. HMC consists of 30 large format retail centres valued at $925M which were purchased from the former Masters hardware sites. The portfolio has an occupancy of 95.3% and WALE of 8.8 years across its operating stores with 9 stores currently undergoing development.

The ASX listing was undertaken through the offer of 97.0M new securities issued at $3.35 per unit, bringing the total number of securities on issue to 197.8M. Based on the first day closing price of $3.75 per unit, HMC has a market capitalisation of around $742M with the closing price representing a 19.4% premium to HMC’s NTA of $3.14 per unit.

Investec Australia Property Fund (ASX: IAP) announced the purchase of three industrial assets for $81M, increasing the fund’s total properties to 31. The assets were acquired from Charter Hall Prime Industrial Fund and were purchased on a 7.3% yield and is expected to be funded by an $84M institutional placement of new securities. Further, the assets are located at 103 Welshpool Road, Perth, WA, 46-70 Grand Trunkway, Gillman, SA, and 16 Dawson Street, East Arm, NT.

Despite the geographic diversification, the fund still maintains a 60 per cent weight to assets in NSW and VIC.

Additionally, IAP listed the sale of its holding of an office tower located in Brisbane’s CBD, at 757 Ann Street. The Fortitude Valley office tower comprises of 11 storeys, 9,422sqm and a WALE of 5 years.