Investor news

Annual Financial Press Release For the period from 1 January 2018 – 31 December 2018

01 Mar 2019

Transformation into truly Pan-European platform results in record profit and creates solid base for future growth

VGP NV (‘VGP’ or ‘the Group’), a leading European provider of high-quality logistics and semi-industrial real estate, today announces the results for year ended 31 December 2018:

  • Broadened European footprint, having entered Italy, the Netherlands and Austria in 2018
  • Strong operating performance resulting in record profit of € 121.1 million (+26% YoY)
     - Signed and renewed lease agreements corresponding to € 38.7 million of annualised rent income bringing the total annualised rental income to € 104.1 million (+38% YoY)[1]
     - VGP delivered 505.000 m2 of lettable area in 2018 (+44% YoY)
  • Strengthened platform for future growth
     - VGP invested in its future pipeline with 1.7 million m2 of new land bought
     - A further 1.6 million m2 committed subject to permits
     - Joint commitment with Allianz Real Estate to expand JV structure beyond existing countries[2]
  • Proposal to increase dividend by 15.8% to € 2.20 per share representing a gross dividend yield of 3.2%[3]

VGP’s Chief Executive Officer, Jan van Geet, said: “Delivering record profits, 2018 was another intensive year for VGP. We managed to successfully transform VGP towards a truly Pan-European platform as we expanded into new key markets. We put significant effort in introducing a new matrix organisation to stay close to our clients across Europe and to allow for VGP’s further geographic expansion. The significant increase of our land bank in 2018 laid the foundation for growth over the coming years.”

Jan Van Geet added: “We successfully continued our growth path in early 2019 with the expansion into Portugal and several landmark projects in Germany. We expect our development activities to continue to grow in 2019 supported by solid client demand driven by e-commerce and changing business needs. Through our integrated business model, VGP is uniquely positioned to capture the growth opportunities across Europe.”

[1] Year-over-year inclusive of Joint Venture at 100% and when excluding the sale of Mango. The Mango building located in Barcelona (Spain) sold during 2018, represented € 7.6 million in annualised rent income. [2] Of the twelve countries in which the group is active, the JV currently covers Germany, Slovakia, Czech Republic and Hungary   [3] Based on the closing share price of € 69.60 as at 28 February 2019

FINANCIAL AND OPERATING HIGHLIGHTS

Record new signed leases

  • Record signed and renewed rental income of € 38.7 million driven by 572,000 m² of new lease agreements signed, corresponding to € 32.6 million of new annualised rental income combined with 117,000 m² of lease agreements renewed corresponding to € 6.1 million of annualised rental income. Total net increase of € 21.3 million when considering the sale of Mango building[1].
  • The signed annualised committed leases represent € 104.1 million[2] (equivalent to 1.98 million m² of lettable area), a 38% increase since December 2017 (when excluding the Mango building¹).

Healthy level of construction activity

  • A total of 21 projects delivered representing 505,000 m² of lettable area, representing €26.6 million of annualised committed leases.
  • Additional 19 projects under construction representing 322,000 m² of future lettable area representing €16.4 million of annualised committed leases once built and fully let.
  • During the first 2 months of 2019 already 2 projects delivered totalling 45,000 m² of lettable area and an additional 9 new projects started up representing 178,000 m² of future lettable area.

Land bank has continued to expand

  • Acquisition of 1.7 million m² of development land and a further 1.6 million m2 committed subject to permits which brings the total owned and secured land bank to 4.45 million m² (a 31% net increase since December 2017), which supports 1.98 million m² of future lettable area.
  • A further 1.1 million m² of new land plots identified which are under negotiation which have a development potential of 514,000 m² of future lettable area.

Successful entry in The Netherlands, Italy, Austria and Portugal – VGP is now active in twelve European countries

  • Continued geographical expansion into Western Europe with the group now active in 12 European countries following the opening of our new offices in Antwerp (Belgium/Benelux offices), Milan (Italy) Vienna (Austria) and Porto (Portugal; since 2019) and the acquisition of our first land plots in The Netherlands and Italy.
  • In all these countries we have or will start-up construction activities during 2019, of which part is already pre-let to-date.
  • In Graz, Austria, VGP entered into a combined transaction whereby it acquired a 18,000 m² building leased under a long-term contract to a reputable automotive supplier and at the same time secured an adjacent land plot. The land plot is expected to be acquired during the first half of 2019 and has a development potential of circa 46,000 m² of future lettable area.

[1] The Mango building located in Barcelona (Spain) sold during 2018, represented € 7.6 million in annualized rent income. The reported annualised committed leases for December 2017 is €82.8 million, or €75.2 million if excluding Mango  [2] For Joint Venture at 100%

New organizational structure implemented and strengthening of the team

  • Management Team has been strengthened through several new senior hires and a new matrix and country organisation has been successfully rolled-out to align with the enlarged organization and create a platform for continued future growth.

Balance sheet strengthened by successful Joint Venture closing, bond offering and sale of Mango building

  • VGP European Logistics joint venture saw one closing in 2018 of c. €400 million, this is expected to be followed by an >€190 million closing by the end of March 2019 which will allow VGP to reinvest in its development pipeline and continue to grow the business.
  • Successfully expanded and extended our bond financing profile following the completion of a €190 million bond in September 2018 which was partially used to refinance the € 75 million bond maturing in December 2018. Gearing[1] at the end of 2018 stood at 34.6%, in line with the Company’s target maximum consolidated gearing of 65%.
  • Sold Mango Global Distribution Centre in Barcelona, Spain, for €150 million.
  • The net cash proceeds from the financing activity combined with the cash proceeds from the sale of the Mango building has significantly increased the Group’s cash position and fuels our ability to invest in the future of our company.

Advanced discussions with Allianz Real Estate in respect of a new Joint Venture

  • Joint commitment with Allianz Real Estate to expand JV structure beyond existing countries[1].
  • Discussions with Allianz RE expected to conclude and materialise during the first half of 2019.

[1] Calculated as Net debt / Total equity and liabilities [2] Of the twelve countries in which the group is active, the JV currently covers Germany, Slovakia, Czech Republic and Hungary

KEY FINANCIAL METRICS

Operations and results20182017Change (%)
Committed annualised rental income (€mm)104.182.825.7%
IFRS Operating Profit before tax (€mm)151.1127.718.3%
IFRS net profit (€mm)121.196.026.1%
IFRS earnings per share (€ per share)6.525.1726.1%
Dividend per share (€ per share)2.201.9015.8%

Portfolio and balance sheet20182017Change (%)
Portfolio value, including joint venture at 100% (€mm)1,9361,56323.9%
Portfolio value, including joint venture at share (€mm)1,3551,20612.4%
EPRA NAV per share (€ per share)30.9427.0614.3%
IFRS NAV per share (€ per share)29.2525.0916.6%
Net financial debt (€mm)419.3436.6(4.0)%
Gearing1 (%)34.642.3-

CONFERENCE CALL FOR INVESTORS AND ANALYSTS

VGP will host a conference call at 10:30 (CET) on 1 March 2019
The conference call will be available on:

  • Belgium: 0800 58228 (toll free) / +32 (0)2 404 0659
  • UK: 0800 358 6377 (toll free) / +44 (0)330 336 9105
  • US: 800-239-9838 (toll free) / +1 323-794-2551
  • Confirmation Code: 9976957

A presentation is available on VGP website: http://www.vgpparks.eu/investors/en/reports-and-presentations/presentations

FINANCIAL CALENDAR

Annual Report 2018                        9 April 2019
First quarter 2019 trading update  10 May 2019
General meeting of shareholders   10 May 2019
Dividend ex-date                            20 May 2019
Dividend payment date                  22 May 2019
Half year results 2019                   23 August 2019
Third quarter 2019 trading update22 November 2019

Contact details for investors and Media enquiries

 

Martijn Vlutters

(VP – Business Development & Investor Relations)

Tel: +32 (0)3 289 1433

Petra Vanclova

(External Communications)

Tel: +42 0 602 262 107

Anette Nachbar

Brunswick Group

Tel: +49 152 288 10363

VGP Announces Conference Call to Review Full Year 2018 Results

28 Feb 2019

VGP NV (‘VGP’ or ‘the Group’), a leading European provider of high-quality logistics and semi-industrial real estate, announces the details for the conference call to review 2018 results:

Friday, 1 March 2019 at 10.30 a.m. (CET)
Dial-in details:
Belgium: 0800 58228 (toll free) / +32 (0)2 404 0659
UK: 0800 358 6377 (toll free) / +44 (0)330 336 9105
US: 800-239-9838 (toll free) / +1 323-794-2551
Confirmation Code: 9976957

Please join the event conference 5-10 minutes prior to the start time. The financial results are scheduled to be released at approximately 7:00 a.m. (CET) on the date noted above, and presentation slides will be made available on www.vgpparks.eu under Investors, Reports & Presentations.

 

   Location     Purpose     Phone Type     Phone Number  
AustriaParticipantTollfree/Freephone0800 005 408
Austria, ViennaParticipantLocal+43 (0)1 9289 266
BahrainParticipantTollfree/Freephone8000 4741
Bahrain, ManamaParticipantLocal+973 1619 9290
BelgiumParticipantTollfree/Freephone0800 58228
Belgium, BrusselsParticipantLocal+32 (0)2 404 0659
BulgariaParticipantTollfree/Freephone0800 15021
Bulgaria, SofiaParticipantLocal+359 (0)2 935 8217
Canada, TorontoParticipantLocal+1 647 794 4605
CroatiaParticipantTollfree/Freephone0800 806 481
CyprusParticipantTollfree/Freephone800 96989
Czech RepublicParticipantTollfree/Freephone800 143 356
Czech Republic, PragueParticipantLocal+420 225 439 753
DenmarkParticipantTollfree/Freephone80 70 16 25
Denmark, CopenhagenParticipantLocal+45 35 15 80 49
EgyptParticipantTollfree/Freephone0800 000 9067
EstoniaParticipantTollfree/Freephone800 011 1853
Estonia, TallinnParticipantLocal+372 674 3050
FinlandParticipantTollfree/Freephone0800 772 208
Finland, HelsinkiParticipantLocal+358 (0)9 7479 0361
FranceParticipantTollfree/Freephone0805 101 219
France, ParisParticipantLocal+33 (0)1 76 77 22 74
GermanyParticipantTollfree/Freephone0800 589 4609
Germany, FrankfurtParticipantLocal+49 (0)69 2222 13420
Germany, MunichParticipantLocal+49 (0)89 20303 5709
GreeceParticipantTollfree/Freephone00800 128 518
Greece, AthensParticipantLocal+30 211 181 3807
HungaryParticipantTollfree/Freephone068 001 9218
Hungary, BudapestParticipantLocal+36 1429 2226
IcelandParticipantTollfree/Freephone800 9369
IrelandParticipantTollfree/Freephone1800 832 679
Ireland, DublinParticipantLocal+353 (0)1 246 5638
IsraelParticipantTollfree/Freephone1809 212 883
Israel, Tel AvivParticipantLocal+972 3376 1315
ItalyParticipantTollfree/Freephone800 977 396
Italy, MilanParticipantLocal+39 02 3600 8019
Italy, RomeParticipantLocal+39 06 8750 0723
JordanParticipantTollfree/Freephone80022523
LatviaParticipantTollfree/Freephone8000 4161
Latvia, RigaParticipantLocal+371 6785 4527
LithuaniaParticipantTollfree/Freephone8800 30775
Lithuania, VilniusParticipantLocal+370 5205 4830
LuxembourgParticipantTollfree/Freephone800 24405
Luxembourg, LuxembourgParticipantLocal+352 2786 1336
MexicoParticipantTollfree/Freephone01 800 062 2963
Mexico, Mexico CityParticipantLocal+52 55 4164 4815
NetherlandsParticipantTollfree/Freephone0800 023 1436
Netherlands, AmsterdamParticipantLocal+31 (0) 20 721 9251
Nigeria, LagosParticipantLocal+234 1 277 2430
NorwayParticipantTollfree/Freephone800 51084
Norway, OsloParticipantLocal+47 2100 2610
OmanParticipantTollfree/Freephone800 77207
PolandParticipantTollfree/Freephone00 800 121 4059
Poland, WarsawParticipantLocal+48 (0)22 206 9996
PortugalParticipantTollfree/Freephone800 812 274
Portugal, LisbonParticipantLocal+351 213 180 030
QatarParticipantTollfree/Freephone00 800 100 443
RomaniaParticipantTollfree/Freephone0800 885 828
Romania, BucharestParticipantLocal+40 (0)21 529 3974
Russian FederationParticipantTollfree/Freephone8 800 500 9283
Russian Federation, MoscowParticipantLocal+7 495 213 1767
Saudi ArabiaParticipantTollfree/Freephone800 844 8805
SlovakiaParticipantTollfree/Freephone0800 002 286
Slovakia, BratislavaParticipantLocal+421 (0) 2 5011 2130
SloveniaParticipantTollfree/Freephone0800 80413
Slovenia, LjubljanaParticipantLocal+386 1 888 8508
South AfricaParticipantTollfree/Freephone0800 998 654
South Africa, JohannesburgParticipantLocal+27 11 844 6054
SpainParticipantTollfree/Freephone800 600 848
Spain, MadridParticipantLocal+34 91 114 7293
SwedenParticipantTollfree/Freephone0200 880 389
Sweden, StockholmParticipantLocal+46 (0)8 5033 6574
SwitzerlandParticipantTollfree/Freephone0800 200 831
Switzerland, GenevaParticipantLocal+41 (0)22 567 5729
Switzerland, ZurichParticipantLocal+41 (0)44 580 7206
TurkeyParticipantTollfree/Freephone00800 4488 29054
Turkey, IstanbulParticipantLocal+90 212 375 57 58
UkraineParticipantTollfree/Freephone0800 503 441
United Arab EmiratesParticipantTollfree/Freephone8000 3570 2653
United KingdomParticipantTollfree/Freephone0800 358 6377
United Kingdom, LocalParticipantLocal+44 (0)330 336 9105
United States, Los AngelesParticipantLocal+1 323-794-2551
United States/CanadaParticipantTollfree/Freephone800-239-9838

VGP acquires a warehouse and industrial land plots in Graz, Austria

29 Nov 2018

VGP NV (‘VGP’ or ‘the Group’) today announces the successful acquisition of a warehouse let to a reputable automotive supplier in Graz, Austria. The new warehouse has a size of circa 17,000 SQM of gross lettable area and is leased under a long term contract. The transaction also consists of around 9 hectares of additional development land.

Jan van Geet, CEO of VGP, commented: “We are very pleased with this transaction as this building, with the adjacent development land, gives us a good starting footprint in the Austrian market, which
we will cover out of our offices in Germany for now.”

More Information

Trading update 3Q 2018

23 Nov 2018

VGP NV (‘VGP’ or ‘the Group’) today publishes a trading update for the period 1 July 2018 until 31 October 2018.

Jan van Geet, CEO of VGP, said: “We continue to see very supportive trends in all our European markets. During the quarter we sold the Mango building in Spain taking advantage of this strong market backdrop whilst improving our Group’s risk profile. The gross proceeds are being reinvested in land acquisitions and the realisation of our development pipeline.

We also managed to successfully close a bond offering and thereby extend our debt maturity profile significantly. I am very pleased with the strength of our balance sheet and our ability to invest in the future of our company.”

Jan van Geet continued: “For Amazon we delivered a second logistics centre, a facility with ultimately up to 80,000 sqm warehouse space at our extended park in Göttingen, Germany and BMW signed-up for our Munich site at Parsdorf for the development of a new warehouse for their Forschungs- und Innovationszentrum (FIZ), a main engineering and development campus, subject to achieving the necessary permits.”

Our land bank remains one of our strongest assets and we are pleased that we have been able to increase the size by securing additional strategically located sites across Europe including in Spain, Italy, Romania, Germany, Czech Republic and Slovakia.”

Jan van Geet concluded: “Our new matrix organization has been successfully rolled-out, each country is managed by a dedicated country team supported by extended Group functions including CIO office, Group Control, Investor Relations and Marketing. This streamlined organizational structure gives us the platform to deliver on our goals.

And we are excited to be expanding again, as we are soon opening an office in Portugal. This will bring the number of European countries in which we are active to twelve. We have seen a number of interesting opportunities in Portugal and we are in discussions about first plots in the Lisbon and Porto regions.”

More Information

CONVOCATION OF A SPECIAL SHAREHOLDERS’ MEETING 2018

19 Oct 2018

The shareholders are hereby invited to attend the special shareholders’ meeting of the Company which shall take place at the offices of Argo bcvba, at City Link, fifth floor, Posthofbrug 12, 2600 Antwerp (Berchem), on Thursday 22 November 2018 at 10:00 am, with following agenda and proposed resolution:

AGENDA AND PROPOSED RESOLUTION

  1. Approval of condition 6.2 of the terms and conditions of the bonds issued by the Company on 19 September 2018 and the rights of the bondholders, as set out in part IV of the prospectus dated
    4 September 2018, for the public offer of the bonds, and in particular the approval of the change of control clause included therein, in accordance with article 556 of the Belgian Companies Code.

Proposed resolution: Condition 6.2 of the terms and conditions of the bonds issued by the Company on 19 September 2018 and the rights of the bondholders, as set out in Part IV of the prospectus dated 4 September 2018, for the public offer of the bonds, pertaining to the possibility for the bondholders to require the Company to redeem the bonds in case of a change of control, is approved, in accordance with article 556 of the Belgian Companies Code. In accordance with the requirements of article 556, second indent, of the Belgian Companies Code, this resolution shall be filed in accordance with article 75, 3° of the Belgian Companies Code and shall be published as an announcement in the Belgian State Gazette by including an extract of the minutes of this special shareholders’ meeting.

More Information

Sale of the Mango Global Distribution Centre at Lliçà d’Amunt, Barcelona (Spain)

26 Sep 2018

VGP NV (‘VGP’ or ‘the Group’) today announced the completion of the sale of the Mango Global Distribution Centre located in its VGP Park Mango at Lliçà d’Amunt, Barcelona (Spain).

The gross proceeds of the sale amount to € 150 million and will allow VGP to realise a significant capital gain on the building compared to the acquisition price. The net proceeds will be reinvested in the further expansion of VGP’s development pipeline.

The Mango building was acquired during 2016 together with a large portion (150,000 m²) of development land. The current transaction only relates to the building. VGP will keep the large portion of development land in its own portfolio and develop it for its own account. The transaction will also result in the optimisation of the Group’s risk profile.

The Mango building is probably one of the most beautiful logistics building in Spain, built to a high specification for Mango, up to 40 meters high with a high degree of automation for the garment industry.

VGP continues to be focused on its main activity: development, leasing and management of its standardised logistic real estate i.e. buildings that are suitable for a wide range of logistical (e-commerce) purposes as well as light industrial activities, in top locations.

Jan Van Geet, CEO of VGP, comments: “The acquisition of the Mango building in 2016 was a real milestone in our introduction to the Spanish market - that is why we thought about this transaction for a long time and finally came to the conclusion that the sale of the Mango building under these conditions are in the interest of the shareholders of VGP. The proceeds from the sale will be reinvested in the further expansion of our development pipeline.”


VGP NV raises € 190 million with bond issue

12 Sep 2018

VGP announces that the public offer in Belgium for a retail bond has been closed and that an amount of € 190 million was raised. The net proceeds of the issuance of the bonds will amount to approximately € 188.4 million.

The bonds (with ISIN code BE0002611896) will be issued on 19 September 2018 and will be admitted to trading on the regulated market of Euronext Brussels.

More information on this public offer is set forth in the prospectus published by VGP NV on 5 September2018 and as approved by the Financial Services and Markets Authority (“FSMA”) on 4 September 2018 and available on the VGP NV website (http://www.vgpparks.eu/investors/en/bonds) and in each branch of KBC Bank or CBC Banque, Bolero (www.bolero.be/nl/vgp), via the Regional Advice Centres and on the website (www.kbc.be/vgp).


Public offering in Belgium of bonds for an expected amount of minimum € 175 million and maximum of € 225 million

05 Sep 2018

These Bonds constitute debt instruments. An investment in the Bonds involves risks. Before making any investment decision the investors must read the Prospectus in its entirety and more particularly the section Risk Factors (please see page 18 and following (Part I: Summary) and page 31 and following (Part II: Risk Factors)). By subscribing to the Bonds, investors lend money to the Issuer who undertakes to pay interest on an annual basis and to reimburse the principal on the Maturity Date. In case of bankruptcy or default by the Issuer, however, investors may not recover the amounts they are entitled to and risk losing all or a part of their investment. These Bonds are intended for investors who are capable of evaluating the interest rates in light of their knowledge and financial experience and who should, if required, obtain professional advice. Each decision to invest in these Bonds must be based solely on the information contained in this Prospectus (including the section Risk Factors) and more generally Factors that may affect the Issuer’s ability to fulfil its obligations under the Bonds and Factors which are material for the purpose of assessing the market risks associated with the Bonds.

VGP NV announces that it makes a public offer in Belgium of retail bonds due 19 March 2026 for an expected amount of minimum € 175 million and maximum € 225 million.

The fixed rate of the bonds is 3.50% (gross) per year. The net yield equals 2.304% per year. The bonds will be governed by Belgian law.

The bonds will be issued in denomination of € 1,000. Hence, the minimum subscription amount is equal to € 1,000. Retail investors will be charged a subscription commission of 1% per bond. The subscription period runs from 7 September 2018 until and including 12 September 2018, subject to early closing. Early closing of the subscription period is possible at the earliest on 7 September 2018 at 5:30 pm. Retail investors are encouraged to subscribe to the bonds on the first day of the subscription period, before 5:30 pm. Bonds for an aggregate nominal amount of maximum € 50 million will be reserved for retail investors subscribing through KBC Bank NV (including CBC Banque SA and KBC Securities NV). In case of over-subscription, these subscriptions will be reduced proportionally taking into consideration the maximum amount of € 50 million. If the expected aggregate nominal amount of the bonds of € 225 million is reached, a nominal amount of minimum € 175 million will be reserved for Qualified Investors.

The issue date is planned on 19 September 2018. Application has been made for the bonds to be listed on the regulated market Euronext Brussels and to be admitted to trading on the regulated market of Euronext Brussels.

KBC Bank NV will act as sole manager and bookrunner for this issuance.

A full prospectus detailing the transaction and its terms, drawn up in Dutch and English, as well as a French translation of the summary of such prospectus, can be obtained free of charge as from 5 September 2018 (before opening of the stock exchange) from VGP NV’s head office, and may be consulted as from 5 September 2018 on the VGP NV website (http://www.vgpparks.eu/investors/en/bonds) and in each branch of KBC Bank or CBC Banque, Bolero (www.bolero.be/nl/vgp), via the Regional Advice Centres and on the website (www.kbc.be/vgp).
The net proceeds of the bonds, which are expected to amount to more or less € 223,100,000 for an aggregate nominal amount of € 225 million, are intended to be used for the repayment of all or part of the outstanding debt of VGP NV under the € 75 million fixed rate bonds on their maturity date, i.e. 6 December 2018, in an amount of € 75 million. The remaining balance will be used for the acquisition of development land in the existing and new markets i.e. the Netherlands and Italy (in total € 80 million) and to further finance the development of new projects on development land for the remaining € 68.1 million. VGP NV expects that the application of the funds towards the aforementioned expansion and development plans will be made within a period of 12 to 18 months following the issuance of the bonds, to the extent market conditions are not unfavourable.


Half year results 2018: VGP enters into new markets and develops at record pace

23 Aug 2018

  • Record profit of € 74.8 million (+ € 12.3 million compared to 1H 2017).
  • Signed and renewed annualised rental income of € 18.5 million driven by 264,000 m² of new lease agreements signed corresponding to € 15.0 million of new annualised rental income combined with 68,000 m² of lease agreements renewed corresponding to € 3.5 million of annualised rental income - the signed annualised committed leases represent € 96.8 million, equivalent to 1.90 million m² of lettable area, a 14.7% increase since December 2017.
  • New development land of nearly 654,000 m² acquired and an additional 1,439,000 m² of new land plots under option, subject to receiving permits expected to be acquired during the next 12 months which adds to a total remaining development land bank as of 30 June 2018 of 3,335,000 m² (compared to 3,261,000 as at the end of December 2017).
  • A total of 12 projects delivered representing 307,000 m² of lettable area, with an additional 22 projects under construction representing 455,000 m² of future lettable area.
  • Closed the fourth transaction with our VGP European Logistics joint venture with a transaction value in excess of € 400 million generating net proceeds of € 289.7 million.
  • Because of the current geographic expansion and the accelerated growth of the development activities, VGP is currently reviewing its financing strategy, in order to assess how best to finance its future development pipeline. The different alternatives which are being investigated include amongst others the potential issuance of new bonds.
  • The earlier announced dividend distribution of € 35.3 million (€ 1.90 per share) representing a gross dividend yield of 3.1% was paid out on 16 May 2018.

More Information

VGP steps up its activity in the Netherlands

02 Aug 2018

VGP NV (‘VGP’ or ‘the Company’), today announced the acquisition of its first land plots in the Netherlands.

The group acquired 267,013 m2 of new development land at Park 15 Logistics, a vast logistics development site located between Nijmegen and Arnhem. These land plots have a development potential of circa 150,000 m2 of new lettable area for future tenants. Construction f the first building is expected to start this Autumn.

Jan Van Geet, CEO of VGP, comments: “We are very happy to have been able to acquire a prime development location in the Netherlands and are keen to start our first developments during 2018. We have currently also identified an additional attractive development location in the Netherlands for which negotiations are in final stages. Both locations should provide a solid base to start our development activities in the Netherlands.”

Park 15 Logistics is a strategically located logistics park in the East of the Netherlands. The park benefits from ease of access by road, rail and water towards Rotterdam and the German Ruhr region. Additionally, the park already has a number of high profile users including Nabuurs, the supply chain solutions company, operating a shared services centre at the park with a focus on fast-moving consumer goods, and Lidl, the fast growing
retailer, is building its own distribution centre.


Trading Update

11 May 2018

Jan Van Geet, CEO of the VGP Group, said: “We have had a very good start of 2018 securing € 10.4 million of new and renewed rental income. Demands for lettable space remain strong in all of our markets and a significant number of new lease contracts are about to be signed which will further add to the annualised committed rental income. The development pipeline currently includes 26 new projects under construction which represent € 24.1 million of new rental income when fully developed and let. During the first quarter we opened new offices in Italy and the Benelux and we are currently in final negotiations to acquire our first land plots in these new markets. We also made good progress in the further development of our team and have been able to attract a number of strong and highly qualified profiles to support our next growth phase.”

More Information

CONVOCATION OF THE ANNUAL SHAREHOLDERS’ MEETING

10 Apr 2018

The shareholders are hereby invited to attend the annual shareholders’ meeting of the Company which shall take place at the Crowne Plaza Brussels Airport Hotel, Leonardo Da Vincilaan 4, 1831 Machelen (Diegem), on Friday 11 May 2018 at 10:00 am, with following agenda and proposed resolutions:

AGENDA AND PROPOSED RESOLUTIONS

  1. Acknowledgement and discussion of the annual report of the board of directors and the report of the auditor on the annual accounts for the financial year ending 31 December 2017.
  2. Acknowledgement and approval of the remuneration report for the financial year ending 31 December 2017.
    Proposed resolution: The general meeting approves the remuneration report for the financial year ending 31 December 2017.
  3. Acknowledgement and approval of the annual accounts for the financial year ending 31 December 2017 and allocation of the results.
    Proposed resolution: The general meeting approves the annual accounts for the financial year ending 31 December 2017. The general meeting approves the allocation of the results as proposed by the board of directors, including the payment of a gross dividend of EUR 1.9 per share. The dividend will be made payable on 16 May 2018.
  4. Acknowledgment and discussion of the annual report of the board of directors and the report of the auditor on the consolidated annual accounts for the financial year ending 31 December 2017.
  5. Acknowledgment of the consolidated annual accounts for the financial year ending 31 December 2017.
  6. Release from liability to be granted to the directors and to the respective permanent representatives of the legal entity-directors.
    Proposed resolution: The general meeting resolves, by a separate vote, that the directors and the respective permanent representatives of the legal entity-directors be released from any liability arising from the performance of their duties during the financial year ending 31 December 2017.
  7. Release from liability to be granted to the auditor.
    Proposed resolution: The general meeting resolves that the auditor be released from any liability arising from the performance of its duties during the financial year ending 31 December 2017.
  8. Determination of a one-off additional remuneration for the independent directors of the Company.
    Proposed resolution: The general meeting approves the proposal of the board of directors with regard to the one-off additional remuneration of EUR 35,000 per independent director of the Company.
More Information

VGP reports full year 2017 record profits

23 Feb 2018

  • Record profit for the period of € 96.0 million (+ € 4.7 million compared to 31 December 2016)
  • Proposal for the distribution of a dividend of € 35.3 million (€ 1.90 per share) representing a gross dividend yield of 3.1%[1].
  • Record signed and renewed rental income of € 27.4 million driven by 484,000 m² of new lease agreements signed corresponding to € 24.3 million of new annualised rental income combined with 61,000 m² of lease
    agreements renewed corresponding to € 3.1 million of annualised rental income. Total net increase of € 21.7 million when considering the sale of Estonia.
  • The signed annualised committed leases represent € 82.8 million equivalent to 1.66 million m² of lettable area, a 35.0% increase since December 2016 (when excluding Estonia).
  • New development land of 729,939 m² acquired and an additional 1,452,336 m² of new land plots under option, subject to receiving permits expected to be acquired during 2018 which adds to a total remaining development
    land bank as of December 2017 of 3,261,364 m² (34% net increase since December 2016)
  • A total of 17 projects delivered representing 349,871 m² of lettable area, with an additional 22 projects under construction representing 475,113 m² of future lettable area. It is expected that more than 200,000 m² of lettable area will be delivered during the first quarter of 2018.
  • Continued geographical expansion into Western Europe with consolidation of presence in Spain where 4 buildings are under construction (2 new buildings started up after year-end) and where 3 new lease contracts with blue chip tenants were signed during the past few months.
  • VGP European Logistics joint venture saw one closing in 2017 of €173 million, this is expected to be followed by an > € €370 million closing by end of March 2018 which will allow VGP to reinvest in its development pipeline and continue to grow the business.
  • A new long-term remuneration plan aligned with shareholders’ interests, based on the growth of VGP’s NAV, is currently being reviewed by the remuneration committee and will disclosed in further detail in the remuneration report included in the Annual Report 2017. The new plan will be applicable as from 2018 onwards.
  • Conservative financing policy in place with a current gearing of 42.3%, in line with the Company’s target maximum consolidated gearing of 55%.

[1] Based on the closing share price of € 62.20 as at 20 February 2018.

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Disclosure in accordance with the Law of 2 May 2007 - Transparency law_20171102

02 Nov 2017

Transparency notification by Mr Bart Van Malderen

VGP NV has received a transparency notification dated 31 October 2017 that (i) by virtue of the disposal of 235,997 shares on 27 October 2017, VM Invest NV now holds 22.69% of the voting rights of VGP NV, and (ii) by virtue of the disposal of 3,545,250 shares on 27 October 2017, Bart Van Malderen no longer directly holds any of the voting rights of VGP NV.

Together, VM Invest NV, Bart Van Malderen and VGP MISV Comm. VA now hold 27.69% of the voting rights of VGP NV. Therefore, their voting rights have fallen below the threshold of 30%.

The notification dated 31 October 2017 contains the following information:

  • Reason for notification:
    Acquisition or disposal of voting securities or voting rights.

  • Notification by:
    A parent undertaking or a controlling person.

  • Persons subject to the notification requirement:
    VM Invest NV, Spinnerijstraat 12, 9240 Zele
    Bart Van Malderen
    VGP MISV Comm. VA, Spinnerijstraat 12, 9240 Zele

  • Date on which the threshold is crossed:
    27 October 2017.

  • Threshold that is crossed:
    30%.

  • Denominator:
    18,583,050.

  • Notified details:

    Previous notificationAfter the transaction
    Number of voting rightsNumber of voting rights% of voting rights
    VM Invest NV4,451,6684,215,67122.69% 
    Bart Van Malderen3,545,25000.00%
    VGP MISV Comm. VA929,153929,1535.00% 
    Total8,926,0715,144,82427.69%

 

  • Chain of controlled undertakings through which the holding is effectively held:
    VM Invest NV is controlled exclusively by Mr Bart Van Malderen. As statutory manager of VGP MISV Comm. VA, Mr Bart Van Malderen also has exclusive control over VGP MISV Comm. VA.



Disclosure in accordance with the Law of 2 May 2007 - Transparency law_2.11.2017

02 Nov 2017

Transparency notification by Mr Jan Van Geet

VGP NV has received a transparency notification dated 2 November 2017 that Little Rock SA now holds, by virtue of the disposal of 743,322 shares on 27 October 2017, 21.33% of the voting rights of VGP NV.

Together, Little Rock SA, Jan Van Geet and Alsgard SA now hold 34.30% of the voting rights of VGP NV. Therefore, their voting rights have fallen below the threshold of 35%.

The notification dated 2 November 2017 contains the following information:

  • Reason for notification:
    Acquisition or disposal of voting securities or voting rights.

  • Notification by:
    A parent undertaking or a controlling person.

  • Persons subject to the notification requirement:
    Little Rock SA, 25 Boulevard Prince Henri, L-1724 Luxembourg, Luxemburg
    Jan Van Geet
    Alsgard SA, 25 Boulevard Prince Henri, L-1724 Luxembourg, Luxemburg

  • Date on which the threshold is crossed:
    27 October 2017.

  • Threshold that is crossed:
    35%.

  • Denominator:
    18,583,050.

  • Notified details:

    Previous notificationAfter the transaction
    Number of voting rightsNumber of voting rights% of voting rights
    Little Rock SA4,707,7523,964,43021.33%
    Jan Van Geet000.00%
    Alsgard SA2,409,9142,409,91412.97% 
    Total7,117,6666,374,34434.30%


  • Chain of controlled undertakings through which the holding is effectively held:
  • Little Rock SA (previously JVG Invest SA) and Alsgard SA are both exclusively controlled by Mr Jan Van Geet.

 


VGP presents an update on the third quarter of 2017 to present date and business highlights

27 Sep 2017

27 September 2017, Diegem (Belgium) – VGP NV (‘VGP’ or ‘the Group’, Euronext Brussels ISIN BE0003878957) today announced an update on the third quarter of 2017 to present date and business highlights.
Highlights of the trading update and business highlights

  • € 3.3 million of additional new leases signed bringing the annualised committed leases for the year to date to € 77.2 million (+ € 17.1 million compared to 31 December 2016) with several new leases in advanced / final phase(s) of negotiations
  • 328,246 sqm of new land plots acquired adding 159,208 sqm of additional development lettable area potential
  • 660,000 sqm of new land plots secured which brings the total land bank under option to 1,300,000 sqm having a development potential of circa 600,000 sqm of future lettable area
  • Completion of the sale of VGP Park Nehatu (Estonia) which represented 77,000 sqm of lettable area (5 buildings) and € 4.2 million of annualised committed leases). Net proceeds of the sale of circa € 34.5 million to be re-applied towards the further expansion of the development activities in the core markets
  • Development of 6 new projects started up totalling 46,536 sqm of future lettable area increasing the current buildings under construction to 563,198 sqm of future lettable area. These buildings under construction on which 76% pre-leases have already been signed, represent a total estimated annualised rent income of € 26.9 million (assuming full occupancy and current market rental conditions)
  • The completed buildings (of both the own and joint venture portfolios) remain 100% let
More Information

Successful completion of the sale of VGP Park Nehatu (Estonia)

15 Sep 2017

VGP has successfully completed the sale its VGP Park Nehatu located in Tallinn (Estonia) to East Capital Baltic Property fund III, a fund managed by East Capital.

The transaction covers a total of 5 modern logistics buildings with a total of more than 77,000 m2 of lettable area. The net proceeds of the transaction are circa € 34.5 million.

Jan Van Geet, CEO of VGP, said: “We are pleased the have concluded this transaction with East Capital which leaves our Estonian tenants in good hands for the future. The net proceeds will be re-applied towards the further expansion of our development activities in our more core markets i.e. Germany, Eastern Europe and Spain, which are continuing to record solid growth.”



Bart Van Malderen considers reducing his shareholding in VGP NV

30 Aug 2017

The Board of Directors of VGP NV (“VGP” or the “Company”), the developer, manager and owner of high quality real estate in Europe, has been informed that Bart Van Malderen, currently the largest shareholder of VGP, with a total shareholding of 43% (via VM Invest NV and in individual capacity), is considering a reduction of his shareholding in VGP through a secondary public offering of existing ordinary shares (the “Offering”). VGP would not be issuing new ordinary shares and would not be receiving any proceeds from the Offering.

Bart Van Malderen is a historic investor in the Company and has supported it since its initial start-up phase. Now, 10 years after the Company's stock market listing, he believes, that the Company has reached the critical size to broaden its investor base in Belgium and internationally. This Offering will also allow VGP to significantly improve the liquidity of its shares and diversify its institutional and retail shareholder base. Prior to the Offering, the Company’s free float is 10.14%.

Following the Offering, Bart Van Malderen will continue to hold a significant stake in VGP and serve on the board as a director.

The Board of Directors of VGP has also been informed that Jan Van Geet (owner currently of 38% of VGP via Little Rock SA and Alsgard SA), also intends to divest a small part of his shareholding, but will continue to hold more than 30% of VGP after the Offering and will remain CEO of VGP, a position he has held since the founding of the Company.

At this stage, VGP understands that no final decision to proceed with the Offering has been made. Such decision will depend on a number of factors, including a favourable capital markets environment. There can consequently be no assurance as to if, when or on what conditions Bart Van Malderen, VM Invest NV and Little Rock SA will offer part of their respective shareholding in VGP.

The shares of VGP are listed and publicly traded on the regulated market of Euronext Brussels and on the Main Market of the Prague Stock Exchange.

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Important notice

The information contained in this announcement is for general information only and does not purport to be full or complete. This announcement does not constitute, or form part of, an offer or invitation to sell or issue, or any solicitation of an offer to purchase or subscribe for shares, and any purchase of, or application for, shares in the Company to be sold in connection with the Offering should only be made on the basis of information contained in the prospectus to be issued by the Company in due course in connection with the Offering and any supplements thereto, as the case may be. This announcement is not a prospectus. The prospectus will contain detailed information about the Company and its management, risks associated with investing in the Company, as well as financial statements and other financial data.

No announcement or information regarding the Offering, as the case may be, or shares referred to above may be disseminated to the public in jurisdictions outside of Belgium where a prior registration or approval is required for such purpose. No steps have been taken, or will be taken, for the Offering or shares of the Company in any jurisdiction outside of Belgium where such steps would be required. The purchase of shares of the Company are subject to special legal or statutory restrictions in certain jurisdictions. The Company is not liable if the aforementioned restrictions are not complied with by any person.

The securities to which this release relates have not been and will not be registered under the United States Securities Act of 1933, as amended (the “Securities Act”) and may not be offered or sold in the United States absent registration under the Securities Act or pursuant to an exemption from such registration.

In member states of the European Economic Area (“EEA”) other than Belgium, this announcement is only addressed to and directed at persons (i) who are “qualified investors” within the meaning of Article 2(1)(e) of the Prospectus Directive (Directive 2003/71/EC and amendments thereto, including Directive 2010/73/EU, to the extent implemented in the relevant Member State of the EEA) and any implementing measure in each relevant Member State of the EEA (the “Prospectus Directive”), or (ii) in any other circumstances not requiring the Company to publish a prospectus in such relevant Member State of the EEA as provided under Article 3(2) of the Prospectus Directive. In addition, this document is being distributed to and is only directed at (i) persons who are outside the United Kingdom or (ii) to investment professionals falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the “Order”) or (iii) high net worth companies, and other persons to whom it may lawfully be communicated, falling within Article 49(2)(a) to (d) of the Order (all such persons in (i), (ii) and (iii) above together being referred to as “relevant persons”). Any invitation, offer or agreement to subscribe, purchase or otherwise acquire securities will be engaged in only with, relevant persons. Any person who is not a relevant person should not act or rely on this document or any of its contents.

Acquiring investments to which this announcement relates may expose an investor to a significant risk of losing the entire amount invested. Persons considering such investments should consult an authorised person specialising in advising on such investments. This announcement does not constitute a recommendation concerning the Offering. The value of the shares can decrease as well as increase.


Half year results 2017: VGP performs at record levels

22 Aug 2017

VGP NV (‘VGP’ or ‘the Group’, Euronext Brussels ISIN BE0003878957) today announced results for the six months ending 30 June 2017.

  • Profit for the period of € 62.5 million (+ € 19.7 million compared to 30 June 2016)
  • Net valuation gain on the investment portfolio reaches € 59.9 million (compared to € 65.1 million at the end of June 2016)
  • At the end of May, a third closing occurred with the VGP European Logistics joint venture (50/50 JV with Allianz Real Estate) with a transaction value in excess of € 173 million
  • Capital distribution in cash of € 20.1 million (€ 1.08 per share) paid to the shareholders on 4 August 2017

VGP, the developer, manager and owner of high quality logistics real estate in Europe, has today published its half-year 2017 results. The Group experienced strong growth in all its active markets, with profits for the period up to € 62.5 million, an increase of 46.1% on the same period last year, and net valuation gain on the portfolio amounting to €59.9 million.

Jan Van Geet, CEO of VGP Group, said: “We are delighted with a positive set of half yearly results which demonstrate the strength of our business model. Our future project pipeline is robust, supported by a successful bond issuance program that has exceeded expectations, and we are completing current projects at record pace, driving profits higher from this period last year. We believe in rewarding the loyalty of our investors and so we are delighted to share our success with them.”

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