We would love to hear your thoughts about our site and services, please take our survey here.
Like others, disappointed in the EPIC Management... Don't see the "BENIFIT" to shareholders in selling out at a 11% discount to NAV when the market is depressed... especially when its still making over 10% HLM...
Probably something else going on in the background... maybe Realty Income is held by some of the bigger share holders so they wont loose out!?
Personally don't think its a good deal for us investors... merger with sim. sized REIT would more than likely been the better option, but the management would then have had a bum fight over who runs the new combined entity
At anything under £0.70 i think this is still worth topping up on...
Over 70p and im not sure if its a hop or sell at the moment.
US Realty will be looking at this on a good buy with the current exchange rate; they'll probably buy up EPIC and then as the Pound strengthens against the US$ sell up and capitalize on the growth in £.
Just had a read of the review... if the sale went through, as EPIC wouldn't hold any property at all, it would have to re-distribute the funds... assuming it was a cash sale!
It could be funded by share allocation; meaning the purchasing company would give shares in there business to the shareholders!
Cant see the sale going through at much of a discount to NAV...
Not sold off anything yet as still holding out for a recovery...
Interestingly looking at the trades over the past few weeks, there seems to be more buys than sells...
I think we have to realistically expect there to be a drop in Divi if there isn't a merger or acquisition.
EPICs major shareholders = Columbia Threadneedle Invstments (17.57%), Hargreaves Lansdown EO (8.96%), Momentum Global Investment Managers (8.33%), Quilters Investors (7.54%), Investac Wealth & Investment (7.16%), Inter active Investor EO (5.72%), Mattioli Woods (3.27%), Wise Funds (2.96%), BlackRock (2.79%) and Close Bros (2.69)...
BlackRock have gone from one of the top 3 with about 15% to less than 3% so wonder if the big drop off was them dropping a lot of sell orders !?
Been topping up here and there over the past few months as i think EPIC Share Price is low; however, am starting to think about off loading with the talk of reduced dividend cover and no real news on merger / acquisition which could degrade the Divi or NAV...
The cynic in me is wondering if this is a play for some of the institutions to deflate the SP so they can make some more money!!!
think these might keep floating up and down for a while, I'm just topping up as and when I can.
As much as I don't like to see the asset value drop and or the SP, its a great opportunity to top up if your looking for a long term asset growth and decent Divi.
Fingers crossed the board have got it right with asset acquisitions... they seem to have got it right in the past, so im hoping its "an inspired decision"...
SP jump looks like it was down to a planning application; site in Scotland - conversion and modernization which should deliver enhanced value on the current valuation of the property portfolio.
Still no news on asset purchases, but guessing they will be holding off to see what happens with the wider economy and or use it as a negotiating point to drive down the price of anything they have been looking at
Agree with Operastar on this; share price was down due to the lack of movement / news on the reinvestment of funds received following the sell off of the offices and other non-retail assets.
They had said locations had been identified and new would follow, but if they are being super savvy, then they might be trying to shave more off the price.
Still think the anticipated Sept Divi rise will still come, but might not be as much...
Down a bit from Fridays close, but still holding above the 80p mark... which is good and bad depending on if your still topping up on them!
Had hoped that there was news on the asset purchase / reinvestment front as that would be more weight behind an increase in divi.
Anyone got any idea for todays closing share price jump...? Whilst i personally think the SP has been low, i thought we might have seen a slight drop with the Interest rate increase...
Noticed this comment too Dusty42...
Also comment on not increasing Divi until the funds from the office sale had been reinvested...
Prudent move but in conjunction with this comment, it has me hoping that a purchase is made soon and the divi will be increased in the coming months...
100% underrated... i'm like Risk... started buying in at the £1 mark and topped up as they dropped... started to sell off when they went over the £0.85 mark (just to materialise some of my gains and spread my risk), but started buying again below the £0.80 threshold. Divi is good and market expectations is they will increase this when they have secured property from the office sale... fingers crossed its sooner rather than later...
With you on this Ben...
No sign of slowing on sites at the min... loads of sites with plenty of founds in so committed to build... National shortage still there (simply not enough labour, too many young people pushed to go to university and massive under investment from the successive labour/tory gov's...
Wife's in the morg. business and whilst they are seeing down valuations, the demand is still there and the feeling is a 3% correction in House prices next year! So nothing to write home about at the min... think we'll see a change after the summer (assuming Russia / Ukraine) is still an ongoing issue at that time...
Epic update their NAV's quarterly... so they were reviewed in Sept 21 and reported in Oct 21, then again in Dec 21 which was reported in the trading update in Feb. They have again been updated this March which we should get an update on them shortly (some point in april).
The company investors page shows that the other NAV announcements will be in July and Oct...
Office sale now complete... and to quote Callum Bruce "Good progress is being made in identifying suitable retail warehouse assets to acquire, which will provide the Company with an attractive level of income"
Here's hoping for that elusive dividend increase that's been muted for a while...
Current Debt % is only marginally above the companies target of 30-35% (currently 37%). This is mainly due to the de-valuation of the property portfolio over the past 3yrs (its was in a healthier position prior to COVID)... I suspect this is why the board hasn't been overly concerned with debt being above its % target; a single year of 5-6% asset growth would put them back into the target zone...
EPIC focus' more on Retail Warehousing, which seems to have been tarred with the same brush as High Street Retail... In my opinion the assets have been de-valued too much and the real NAV is higher still... With a healthy dividend yield and cover, its a good buy... If your looking for long term growth; reinvest the monthly divi... if you want an income, you get a little bit every month (so you dont seen too many price spikes when they go ex-div like some organizations).
Operastar... debt wont be paid off/reduced in £ note terms; if that what your looking for, id suggest you look elsewhere...
EPIC typically maintain the credit facilities at the £110m mark an reinvest surplus funds in further developing the property portfolio... thus giving investors a better return.
This is a red herring...
With approx. £302m in Assets and debt at circa £112m, net assets are £189m... Debt to equity is roughly 0.37 (37%) which in most sectors is considered good... The boards target level is 30-35%, so only 2% over this after a global pandemic which hit property values! Debt facilities and covenants have plenty of headroom, so very little risk...
Revolving Credit Facilities normally have higher interest rates and are aimed at business' that will dip into and out of them when needed for cash-flow issues... EPIC has relatively good cashflow so wouldn't typically need that type of debt facility...
As for "how is it being paid off!"... the aim isn't to pay it off... most business' operate with a proportionate level of debt permanently as the "Gearing" allows for them to make more money! Case in point... Credit facility has an interest rate of 2.86%... But EPIC can make 18% from that same money...
Agreed Riskingit, the SP movement isn't worth worrying about at the min as markets are all still spoofed...
Not adding anymore to my ISA portfolio as i'm still a bit to heavily invested, but my SIPP is set to re-invest with EPIC every month...
Looking forward to seeing what they do with the proceeds of the office sales... and when/where/how much the long awaited divi increase will be...