Multiple-listed real estate firm Grit Real Estate Income Group delivered a total shareholder return of 11.4% over its first year of listing at the London Stock Exchange as it confirmed the final dividend for its first year of operation.
The pan-African property trust, which ended the year with 25 investments spread across seven countries, reported a net asset value of 131.9 US cents per share as of 30 June, down 2.7% due to exchange rate headwinds and costs of corporate activity.
Grit has a property portfolio spurning countries including Ghana, Botswana, Mauritius, Morocco, Mozambique, Kenya and Zambia. The firm’s income producing assets are valued at US$825.2 million, following a 3.8% increase in comparable property valuations.
With an occupancy rate of 97.1%, Grit declared a final dividend of 6.95 US cents per share bringing the total dividend paid for the year to 12.2 cents per share. This is an annualized dividend yield of around 8.8% based on share prices of the company trading at the London Stock Exchange
Considering the share issue price of US$1.43 per share from its US$132 million IPO fundraising in July 2018, and latest closing price at the end of June of US$1.39, total shareholder return was at 11.4%.
Excluding the negative impacts of currency movements in the Eurodollar, the underlying total return from the portfolio was 12.4%
“Country and sector diversification and our proactive asset management initiatives have helped the company to manage effectively the challenges faced in the retail sector across the continent,” said Grit CEO Bronwyn Corbett.
The company recently announced it had identified targets worth US$600 million and was seeking shareholder permission to issue up to 280 million new shares to fund growth.