Conygar Investment Company net asset value grows in first half

(Sharecast News) - Conygar Investment Company reported a rise in first-half net asset value on Friday, after booking a profit from the sale of its Rhosgoch land holding in Anglesey, while reducing borrowings during the period.

The AIM-traded property investor said net asset value increased by £12.8m to £54.3m in the six months ended 31 March, equivalent to 91.6p per share, compared with 70.2p per share at the end of September 2025.

The increase included a £15.1m profit realised from the sale of the group's land holding in Rhosgoch, net of operational, debt financing and administrative costs.

Conygar said net proceeds from the Rhosgoch disposal totalled £18.4m, helping lift cash deposits to £6.3m at the period end, compared with £3.2m at 30 September.

Cash equated to 10.6p per share.

Bank borrowings fell by £9.4m during the half-year, following the repayment and cancellation of a loan from ASK Partners and a partial repayment of the company's Barclays loan.

Net bank borrowings stood at £38.7m at 31 March, down from £48.0m at the end of September.

The company said its loan from Barclays, linked to the Winfield Court student accommodation scheme at The Island Quarter in Nottingham, had been restructured to extend the final repayment date to March 2027.

Security for the extended facility now also includes the food, beverage and events venue at The Island Quarter, known as 1 TIQ.

Conygar said lettings at Winfield Court were progressing steadily for the upcoming academic year as the student accommodation became more established.

It also completed the transfer of operational management for 1 TIQ to Rhubarb Food Design in October, intended to support further expansion of the food, beverage and events offering at The Island Quarter.

At 31 March, the group's properties were valued at £89.8m, compared with £93.1m at 30 September and £117.5m a year earlier.

Zero dividend preference shares stood at £2.8m, down from £5.6m at the end of September, after the company purchased 2.46m ZDP shares for £3.0m.

Chief executive Robert Ware said continuing geopolitical risk and macroeconomic volatility could lead to a period of hesitation in UK real estate, depending on any further escalation of conflict and its impact on energy costs.

"However, the 2026 real estate landscape is characterized by resilience, with the industry navigating a 'new normal' of uncertainty," he said.

"With investors prioritising high quality and sustainable investments, alternative capital sources filling the funding gap left by traditional institutional investment, and UK residential and commercial property values supported by a softer development pipeline, we are optimistic that opportunities will evolve over the coming years which should enable us to maximise the returns from TIQ."

At 0943 BST, shares in Conygar Investment Company were up 0.58% at 25.75p.

Reporting by Josh White for Sharecast.com.

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