EDISTON PROPERTY INVESTMENT COMPANY

Notice of Dividend Amount • Apr 7, 2020

National Storage Mechanism | Additional information

RNS Number : 9772I

Ediston Property Inv Comp PLC

07 April 2020

7 April 2020

Ediston Property Investment Company plc

(LEI: 213800JRL87EGX9TUI28)

Announcement of Interim Dividend and Trading Update

Declaration of Interim Dividend

The Company has today declared its interim dividend (property income distribution) payment in respect of the period from 1 March 2020 to 31 March 2020 of 0.4792 pence per share, as timetabled below:

Ex-Dividend Date:	16 April 2020
Record Date:	17 April 2020
Pay Date:	30 April 2020

This monthly dividend of 0.4792 pence per share equates to an annualised dividend level of 5.75 pence per share and is unchanged from the previous declared dividend in March 2020.  The monthly dividend is covered by rental income collected in the first quarter of 2020.

In light of the exceptional circumstances affecting global economies and markets, the Board will continue to monitor the Company's cash receipts and net income each month and consider the future payment of monthly dividends accordingly.  

Trading update

Quarter 2 rent collection, tenant exposure and ongoing dividend implications

As at 6 April, 69.7% of the rent due by 1 April has been collected across the portfolio.   A number of tenants pay rent monthly.  Assuming those tenants who paid monthly in April continue to make payments on this basis, it is anticipated that by the end of June 2020 the Company will have collected 75.9% of rent due for the Scottish and English quarters. 

Given the current circumstances, collecting the rents due is proving more difficult than normal.  Through the active asset management of the portfolio, the Investment Manager has developed good relationships with its tenants.  It will be seeking to collect the balance of the rent due when possible, but in a way that is mindful of the immediate cashflow difficulties that some of the tenants are currently experiencing.

The Company's principal tenants are detailed in its factsheet which will be updated in April following the announcement of the March NAV.  Due to the skew to convenience shopping in the portfolio, approximately 56% of the retail warehouse income is from tenants who are defined as providing 'essential services' by the UK Government and are permitted to stay open for trade.  Many retailers in these categories have reported good trading during this period of retail restrictions, giving some resilience to the Company's income from this sector. 

The Board will do what it can to continue to pay the Company's shareholders dividends from the income it is able to collect, having ensured that the Company can meet its other financial commitments over the medium term.  However, there can be no guarantee that the current dividend level can be maintained if cash collection at current levels does not improve or indeed deteriorates.  Equally the dividend is at risk if cash is required to protect the Company's balance sheet.

Operations

During this challenging period, the Company is doing what it can to distribute as much income as possible by cutting back on expenditure.  It is also stepping back from making new capital commitments until market conditions are more certain, whilst protecting the portfolio where necessary if expenditure is required.

Net Asset Value

The Company expects to report on its net asset value in April, at which point further and fuller guidance will be given on the Company's rent collection and continued ability to pay dividends on its existing monthly basis and timetable.

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Enquiries

Will Barnett        - Investec Bank plc                                                                                        0207 597 5873

Calum Bruce       - Ediston Properties Limited                                                                       0131 225 5599

Ruth Wright        - JTC                                                                                                                0203 893 1011

Ben Robinson     - Kaso Legg Communications                                                                     0203 137 7821

Stephanie Ross   - Kaso Legg Communications                                                                     0203 137 7784

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